The US Department of Justice has confiscated at the request of Brazilian authorities $24M in cryptos from the operator of a fraudulent investment scheme. The project organizer has fraudulently obtained more than $200M.
As part of Operation Egypto, Brazil issued an order to seize cryptocurrencies from Marcos Antonio Fagundes, who has been charged with several criminal violations, including the illegal creation of a company as a financial institution, the violation of securities laws and money laundering.
Fagundes has allegedly carried out a scheme in which he offered users to invest in cryptos both online and in person. The investments were accepted in Brazilian reals and cryptocurrencies.
According to the investigation, the scammers provided potential investors with false information about the expected return and investment plans. The scheme was in operation from August 2017 to May 2019.
The US Department of Justice has clarified the seizure of the cryptocurrencies has been carried out under the current agreement with Brazil on mutual legal assistance.
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