cryptoknowmics.com
Fraudulent crypto schemes have increased to a very great extent lately and in the past two years, a lot of such cases have been recorded. It is now revealed that CFTC is seeking $100M worth funds from Michael Ackerman, who is a former stock broker. Ackerman has been accused of stealing investment as he was involved in a fraudulent crypto scheme.
As per the new motion filed with the New York Southern District Court, Ackerman will have to pay $27 million as restitution and $81 million as civil monetary penalty. Since Ackerman failed to appear in the hearing , this will be turned into a judgment.
CFTC Claims Ackerman Falsified Investors Money
It is revealed that Ackerman was responsible for both Q3 I, LP and Q3 Trading Club, which has raised $33 million of investment from around 150 investors. He promised the investors to put the money into the crypto market. According to CFTC, Ackermanis accused of providing false information about investors’ money. As per the accusations, he has most of those funds to purchase and renovate a new house and along with this, he paid $600,000 for personal security services and for other personal expenses.
Ackerman Accused of Wire Fraud and Money Laundering
The U.S. SEC and CFTC had filed complaints against Ackerman in February 2020. However, these complaints were not resolved completely. Ackerman has earlier faced accusations for wire fraud and money laundering from the U.S. Department of Justice. A recovery fund called Q3 Investment Recovery Fund, was created for all those investors who lost money in this fraudulent scheme. This firm along with others, also came against Ackerman and are looking for refund of investors money. This kind of fraud has become quite frequent in the crypto industry and emerging as a major threat in front of crypto players especially along with increasing adoption.