Taiwan Authorities Arrested 15 Suspects in $8 Million Crypto Scam
Police in New Taipei, in Taiwan, detained 15 people in connection with another cryptocurrency scam. They are accused of stealing $8.13 million. According to local media Focus Taiwan, the Criminal Investigation Bureau seized 15 people, including the leader of the alleged fraudsters, Lin, from January 9 to 17.
According to the authorities, the suspects created a cryptocurrency scam named IBCoin and deceived more than 30 investors who were promised incredible profits if they invested money in the project. As a result, investors lost $8.13 million.
In September 2018, one of the victims reported fraud to the authorities, when he was forced to fraudulently invest about $19,400 in IBCoin.
The authorities conducted an investigation and determined that, back in 2017, Lin bought IBCoin through his accomplices in China at a price of $0.049 per token.
Next, Lin asked employees to sell their IBCoin to investors for $1.62-3.25 per token. Also, he assured investors they would receive significant returns on their contribution.
According to the investigation, Lin and his accomplices exhibited on social networks photos of luxury life and expensive cars. In such a way they showed how profitable investment in IBCoin was and encouraged investors to buy cryptocurrency.
But none of the investors have received the return. Moreover, the investigation determined IBCoin was a scam that has no real value, and no company sells IBCoin.
As a result, 15 suspects were charged with fraud.