{"id":10101,"date":"2022-03-09T02:08:58","date_gmt":"2022-03-09T02:08:58","guid":{"rendered":"http:\/\/egrowonline.com\/?p=10101"},"modified":"2022-03-09T02:08:58","modified_gmt":"2022-03-09T02:08:58","slug":"brother-and-sister-charged-with-cryptocurrency-fraud-in-new-york-cryptocurrencies","status":"publish","type":"post","link":"http:\/\/egrowonline.com\/?p=10101","title":{"rendered":"Brother and sister charged with cryptocurrency fraud in New York | Cryptocurrencies"},"content":{"rendered":"<p> <br \/>\n<\/p>\n<div>\n<p class=\"dcr-1wj398p\">US authorities on Tuesday filed criminal charges against a cryptocurrency executive and civil charges against him and his sister, accusing them of defrauding retail investors out of millions of dollars with a digital token known as Ormeus Coin.<\/p>\n<p class=\"dcr-1wj398p\">In papers filed in Manhattan federal court, the justice department said John Barksdale lied about the value and profitability of Ormeus Coin\u2019s mining assets, including that the coin was backed by a $250m mining operation generating more than $5m of monthly revenue.<\/p>\n<figure id=\"9ccf2a09-8162-4179-85c5-e975be59ba7f\" data-spacefinder-component=\"rich-link\" data-spacefinder-role=\"richLink\" data-spacefinder-type=\"model.dotcomrendering.pageElements.RichLinkBlockElement\" class=\" dcr-1mfia18\"><\/figure>\n<p class=\"dcr-1wj398p\">Barksdale and his sister JonAtina (AKA Tina) Barksdale were separately <a target=\"_blank\" href=\"https:\/\/www.sec.gov\/news\/press-release\/2022-37\" data-link-name=\"in body link\" rel=\"noopener\">charged<\/a> by the Securities and Exchange Commission with conducting fraudulent unregistered offerings of Ormeus Coin.<\/p>\n<p class=\"dcr-1wj398p\">The SEC said the Barksdales since 2017 raised $124m from more than 20,000 investors through their multi-level marketing company Ormeus Global SA, and spent millions of dollars on travel, real estate and other personal expenses.<\/p>\n<p class=\"dcr-1wj398p\">Authorities said the siblings promoted Ormeus Coin through roadshows and social media, as well as a Times Square jumbotron in Manhattan proclaiming: \u201c$250 Million Cryptocurrency Mining Farm Revealed in Legal Audit by Ormeus Coin.\u201d<\/p>\n<p class=\"dcr-1wj398p\">The Barksdales \u201cacted as modern-day snake-oil salesmen\u201d in misleading investors, Melissa Hodgman, associate director of the SEC enforcement division, said in a statement.<\/p>\n<p class=\"dcr-1wj398p\">Lawyers for the Barksdales could not immediately be identified.<\/p>\n<p class=\"dcr-1wj398p\">John Barksdale has been arrested, and faces up to 65 years in prison on securities fraud, wire fraud and conspiracy charges, according to the justice department.<\/p>\n<p class=\"dcr-1wj398p\">Both defendants are US citizens, with John Barksdale, 41, having lived in Thailand and JonAtina Barksdale, 45, in Hong Kong, the SEC said.<\/p>\n<p class=\"dcr-1wj398p\">The SEC chair, Gary Gensler, has called the cryptocurrency industry the \u201cwild west\u201d of finance and wants cryptocurrency exchanges to register with the SEC.<\/p>\n<p class=\"dcr-1wj398p\">The White House has been considering broad oversight over the cryptocurrency market, in part to address ransomware and other cybercrime.<\/p>\n<p class=\"dcr-1wj398p\">Joe Biden is expected this week to direct the justice department and other federal agencies to study possible ramifications from creating a US central bank digital currency, a person familiar with the matter said.<\/p>\n<\/div>\n<p><br \/>\n<br \/><a href=\"https:\/\/www.theguardian.com\/technology\/2022\/mar\/08\/john-jonatina-barksdale-cryptocurrency-charges-ormeus-coin-new-york\">Source link <\/a><\/p>\n","protected":false},"excerpt":{"rendered":"<p>US authorities on Tuesday filed criminal charges against a cryptocurrency executive and civil charges against him and his sister, accusing them of defrauding retail investors out of millions of dollars with a digital token known as Ormeus Coin. In papers filed in Manhattan federal court, the justice department said John Barksdale lied about the value [&hellip;]<\/p>\n","protected":false},"author":1,"featured_media":0,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"footnotes":"","jetpack_publicize_message":"","jetpack_publicize_feature_enabled":true,"jetpack_social_post_already_shared":true,"jetpack_social_options":{"image_generator_settings":{"template":"highway","enabled":false}}},"categories":[36],"tags":[6013,5646,81,52,3246,4774,4286],"class_list":["post-10101","post","type-post","status-publish","format-standard","hentry","category-cryptocurrency","tag-brother","tag-charged","tag-cryptocurrencies","tag-cryptocurrency","tag-fraud","tag-sister","tag-york"],"jetpack_publicize_connections":[],"jetpack_sharing_enabled":true,"jetpack_featured_media_url":"","_links":{"self":[{"href":"http:\/\/egrowonline.com\/index.php?rest_route=\/wp\/v2\/posts\/10101","targetHints":{"allow":["GET"]}}],"collection":[{"href":"http:\/\/egrowonline.com\/index.php?rest_route=\/wp\/v2\/posts"}],"about":[{"href":"http:\/\/egrowonline.com\/index.php?rest_route=\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"http:\/\/egrowonline.com\/index.php?rest_route=\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"http:\/\/egrowonline.com\/index.php?rest_route=%2Fwp%2Fv2%2Fcomments&post=10101"}],"version-history":[{"count":1,"href":"http:\/\/egrowonline.com\/index.php?rest_route=\/wp\/v2\/posts\/10101\/revisions"}],"predecessor-version":[{"id":10102,"href":"http:\/\/egrowonline.com\/index.php?rest_route=\/wp\/v2\/posts\/10101\/revisions\/10102"}],"wp:attachment":[{"href":"http:\/\/egrowonline.com\/index.php?rest_route=%2Fwp%2Fv2%2Fmedia&parent=10101"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"http:\/\/egrowonline.com\/index.php?rest_route=%2Fwp%2Fv2%2Fcategories&post=10101"},{"taxonomy":"post_tag","embeddable":true,"href":"http:\/\/egrowonline.com\/index.php?rest_route=%2Fwp%2Fv2%2Ftags&post=10101"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}