The Forsage investment platform, founded by four Russians, has been charged by the US Department of Justice for operating a pyramid scheme that has allegedly defrauded investors of $340 million.
The accused individuals include Vladimir Okhotnikov, who used the pseudonym Lado, Olena Oblamskaya (also known as Lola Ferrari), Mikhail Sergeev (who went by Mike Mooney, Gleb or Gleb Million), and Sergey Maslakov. They face charges of organized wire fraud and could each receive up to 20 years in prison.
The court documents state that the defendants promoted Forsage on social media as a licensed and profitable business opportunity.
The platform claimed to be a decentralized matrix project that used network marketing and smart contracts on the blockchain. However, it is alleged that the platform operated like a financial pyramid and attracted $340 million from investors worldwide.
Special Agent Ivan Arvelo of the National Security Investigation (HSI) stated that the defendants used sophisticated technology and obscure language to deceive people, but their scheme was nothing more than a classic Ponzi scheme.
Arvelo emphasized that while technology may change, fraud schemes remain, and law enforcement will continue to uncover them.
In another case, two residents of Tomsk are set to stand trial in Russia for allegedly stealing 86 bitcoins worth 360 million rubles.