The Indian police launched an investigation into BitConnect co-founder Satish Kumbhani months after the U.S. SEC said he had relocated from India.
Now defunct, Bitconnect operated as a platform that advertised significant profits in tandem with lending activities around Bitcoin and the Bitconnect coin, BCC.
A number of people advocated for the project through various channels, such as social media, receiving affiliate rewards. The project, however, closed in January 2018, taking off with many users’ funds. Bitconnect’s price dropped in value, from hundreds of dollars to nearly zero. During Bitconnect’s active time on the market, multiple regulatory authorities demanded the outfit halt its operation. The Bitconnect scam has been referred to as a Ponzi scheme, and a number of legal developments surfaced following the project’s demise.
BitConnect founder is being sued for illegally raising funds and defrauding American investors of over $2 billion.7053
A San Diego-based federal grand jury charged Kumbhani for orchestrating an alleged Ponzi scheme via BitConnect’s “Lending Program” among other allegations.8992
The superior court has reversed a lower court’s decision, making it possible for a class action to proceed against the promoters of one of crypto’s most infamous scams.2688
“This liquidation is the largest single recovery of a cryptocurrency fraud by the United States to date,” said the Justice Department.11316
Former BitConnect promoter Glenn Arcaro has pled guilty to his role in the saga, but the whereabouts of the firm’s founder, Satish Kumbhani, are unknown.5736
Four of six U.S.-based promoters of the notorious BitConnect Ponzi scheme have reached settlement agreements with the SEC.5798
The SEC says five individuals "promoted a global unregistered digital asset securities offering."48854
The Australian is facing six charges that carry penalties of between 2-10 years in prison.7812
John Bigatton has been barred from providing financial services in Australia for seven years for his involvement with the BitConnect Ponzi scheme.4780
Crypto worth billions upon billions of dollars has been lost to fraud. But what are the most common scams, and can they be stopped?2474
Experts share their insights on how to best avoid crypto exit scams, highlighting the biggest red flags investors should look out for.9863
With a new AML report describing 2019 as the year of the exit scam, Cointelegraph looks at the biggest alleged scams to date and how to spot one...4887
Indian police have discovered an alleged multi-million dollar cryptocurrency scam involving a BitConnect promoter.7695
The FBI is attempting to investigate the movements behind the failed alleged ponzi scheme, which at one point was worth $2.5 billion.5063