DOJ Files Charges Against Baller Ape Club ‘Rug Pull’
2022.07.01 15:30
DOJ Files Charges Against Baller Ape Club ‘Rug Pull’
- Rug-pull scam enabler and NFT creator gets his business exposed by the United States DOJ.
- Around $2.6 million from the project’s investors was looted.
- The DOJ also found three more individuals related to a crypto scam guilty of fraud.
Rug-pull scam enabler and NFT creator gets his business exposed by the United States Department of Justice (DOJ). The DOJ has charged 26-year-old Le Anh Tuan, creator of Baller Ape NFT, for promoting his project to gain sales and then quickly shutting down the project, fleeing with investors’ money.
According to various sources, Tuan allegedly looted $2.6 million from his project’s investors, only to disappear from the public with the stolen money. As per a report from the DOJ, if Tuan is found guilty, he could face up to 40 years in prison.
CNBC senior Washington Correspondent, Eamon Javers, announced on Twitter (NYSE:TWTR) about the case:
DOJ announces criminal charges against six defendants in four separate cases for their alleged involvement in cryptocurrency-related fraud, including the largest known NFT scheme charged to date. Charges in part allege a scheme involving the “Baller Ape” NFT.
— Eamon Javers (@EamonJavers) June 30, 2022
Along with the Baller Ape case, the DOJ also found three more individuals related to a crypto scam guilty of fraud.
The official report from the DOJ shows that they have also revealed three who allegedly raised more than $100 million in a global crypto Ponzi scheme. Emerson (NYSE:EMR) Pires, Flavio Goncalves, and Joshua David Nicholas are accused of founding a fraud crypto investment platform called EmpiresX.
If the three individuals are convicted of all counts, Pires and Goncalves could face up to 45 years in prison. Meanwhile, Nicholas could go to prison for 25 years.
Kenneth Polite, head of the department’s criminal division, said in a statement, “The Department of Justice and our partners are dedicated to using every available tool to protect consumers and investors from fraud and manipulation.“
He further stated, “These indictments reflect our deep commitment to prosecuting individuals involved in cryptocurrency fraud and market manipulation.”
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