$2.3 bln OneCoin Alleged Ponzi-Scheme: China Prosecuted Final Suspects

$2.3 bln OneCoin Alleged Ponzi-Scheme: China Prosecuted Final Suspects

Remember OneCoin? A project which received much support at the dawn of the cryptocurrency history? The one that started facing investigation regarding its scamming core in December 2016? The news about it is back! However, with no good perspectives for itself.

Chinese prosecutors charged final suspects in $2.3 billion OneCoin investigation, and here are the freshest details.

The Case Will Soon Come To An End?

In accordance with the Justice Network, the Chinese local media outlet backed by the country’s authorities, the last four suspects in OneCoin investigation were prosecuted. As it is known, this case started out over two years ago and is aimed at finding out whether OneCoin was a pyramid scheme or not. The suspects, by the way, were prosecuted in Hunan Province, China.

There, the Zhuzhou Country Procuracy probed 106 people, whereas 98 individuals were publicly prosecuted.

In the course of the investigation, the Chinese prosecutors recovered about $266 million (1.7 billion yuan) from more than 20 country’s provinces. The people, who were prosecuted, faced fines and imprisonment. In particular, they had to pay around $1,500-$782,000 (10,000-5 million yuan) as well as spend four years in jail.

Two years ago, authorities in China had already confiscated more than $30 million in the frames of their probe over the alleged pyramid machination.

New Details: $2.3 Billion Worth Case

According to the report, OneCoin’s organization in China was called “Weika Coin,” but its server was situated in Denmark. This organization functioned by continually “induc[ing] new investors to realize imaginary high profits” by fraudulently campaigning for the tokens’ worth and baiting others to pile immense amounts into its launched site.

OneCoin – the alleged pyramid scheme, also known as MLM organization – perhaps, had 27 fund pool accounts. Moreover, it had more than 140 member levels of different costs, as well as more than 2 million registered users situated in China on the whole.

As the Justice Network emphasized, the sums, engaged in the machination, constituted over $2.3 billion (15 billion yuan) .

Old Findings

Last year autumn, by the way, Italy imposed a massive fine on OneCoin, worth 2.5 million euros. That happened after the Italian Antitrust, and Consumer Protection Authority named this organization a “Ponzi scheme.”

Interestingly, this year January, on orders from German prosecutors, Bulgarian law enforcement officers on par with the EU crime withstanding units raided the organization’s office in Bulgaria. Despite the fact that 50 witnessed were examined at that time and documents and servers were impounded, no arrests took place.