$770 000 Lawsuit Filed Against Bitconnect

Each of the six plaintiffs lost $ 11,500 to $ 200,000 
25 January 2018   220

On Wednesday, a lawsuit was filed in the court of the southern federal district of Florida against the BitConnect. Plaintiffs assert that the organizers of the scheme fraudulently seized the amount exceeding $ 770,000. This is reported by The Next Web.

The plaintiffs were six former BitConnect investors who, in their statement, indicated several branches of the company registered in the UK, as well as several promoters engaged in promoting the investment scheme at YouTube and through various social channels.

Among the others in the suit is Glenn Arcaro, who, according to the register of UK companies, is the director of BitConnect. Besides him, the names of Trevon Brown (better known as Trevon James), Ryan Hildreth, Craig Grant, John Doe (known by the name of CryptoNick) and others appear in the document.

Sure enough, the crypto-Wonderland created by BitConnect was too good to be real. As the business’ closure in January 2018 revealed a Ponzi scheme, numerous securities laws violations, and thousands upon thousands of investors who lost [more than] 90 percent of their holdings.

Lawsuit against Bitconnect

Bitconnect Investors
Each of the six plaintiffs lost $ 11,500 to $ 200,000 

Plaintiffs and Class Members seek compensatory and equitable relief rescinding their investments in BitConnect and restoring them the assets and funds they were fraudulently induced into investing.

Lawsuit against Bitconnect

In addition to the plaintiffs themselves, the application mentions "Class Members", that is all BitConnect investors, with the exception of the defendants and related persons who had a commercial interest in the activities of the defendants. All investors who meet this criterion can join the claim.

It is noteworthy that some of the promoters mentioned in the suit, including Arkaro and Hildreth from YouTube, hastened to remove all compromising videos from their YouTube channels after the first rulings of the US authorities were passed.

Meanwhile, BitConnect continues to raise funds to finance its ICO BitconnectX, promoted by an army of promoters in Indonesia and Asia.

FBI to Investigate Bitconnect Activity

This is told by former investor and promoter of the project
07 March 2018   115

Trevon James, a former investor and promoter of the BitConnect crypto currency project, said that the agents of the US Federal Bureau of Investigation interrogated him about his involvement in the company's activities. This is reported by CoinDesk.

James said that in 10 days he should "testify and tell about his role in BitConnect", but did not specify in which format the hearings will be held. He also added that he never had information about the company's plans and the road map.

According to the ex-promoter, he expects that the testimony will be in the same format as his one and a half hour "conversation" with FBI agents, during which he told about his experience with BitConnect as a user.

It's really about the SEC. Testimony is really important you know, for the entire crypto space because ... it's about securities. Is Bitconnect a security, are cryptocurrencies, can they be considered securities? That's what it's about, it's not about whether I scammed people.

Trevon James 

Former investor and promoter, BitConnect

It should be noted that in the middle of January the crypto exchange project BitConnect announced the closure of the program of lending and exchange. The reason for this step was the two official resolutions on the termination of activity from the regulators of the states of Texas and North Carolina. Subsequently, two lawsuits were also filed against BitConnect.