Alleged UK Crypyo Scammer Extradited to US

Renwick Haddow is accused of misappropriating more than $36M from Bitcoin Store and Bar Works
16 April 2018   671

On Friday, the FBI reported that the 49-year-old British Renwick Haddow was extradited from Morocco to the US to appear before the federal district court of the Southern District of New York. He is accused of misappropriating more than $36M from Bitcoin Store and Bar Works investors. This is reported by Bitcoin. com.

Haddow was arrested in Morocco in July 2017, after the SEC put forward a charge of fraud against him. He used sales representatives to make cold calls to potential investors and sell securities of two companies under his management. At that time, Haddow had a dark past behind him.

According to the suit of the SEC, in the promotional materials shown to investors of both companies, in addition to other false facts, it was told about top managers who did not actually exist. Attracted with the help of the Bitcoin Store and Bar Works, Haddow ferried to Morocco and Mauritius.

In the Bitcoin Store promotional materials, investors were informed that this is an "easy-to-use and safe way to store and trade bitcoins," and that the company's gross sales amount to several million dollars. Nevertheless, the SEC claims that Bitcoin Store, firstly, did not perform any operations at all, and secondly, it has no declared gross sales volume. For example, in 2015, Bitcoin Store bank accounts accounted for less than $ 250,000 through inbound transactions, and none of these dollars appear to have come from customers. Haddow took the pseudonym "Jonathan Black" to hide his involvement in the case, and also lied about the great experience in the financial sphere.

As alleged in our complaint, Haddow created two trendy companies and misled investors into believing that highly-qualified executives were leading them to quick profitability.  In reality, Haddow controlled the companies from behind the scenes and they were far from profitable.
 

Andrew M. Calamari

Director, SEC’s New York Regional Office

Haddow is accused of two phone fraud cases. For each of the charges, he faces up to 20 years in prison.

SEC to Accuse Veritaseum ICO of Fraud

SEC believes that project's tokensale, thru which it raised $14.8M back in 2017-2018 had a signs of scam and company misled the investors
14 August 2019   174

The U.S. Securities and Exchange Commission (SEC) has sued New Yorker  and Veritaseum-related companies that have been caught by the agency in conducting an unregistered ICO with signs of fraud. It is reported by Cointelegraph.

According to documents published on the network, the SEC intends to hold Reggie Middleton accountable and immediately freeze the assets of Veritaseum Inc. and Veritaseum LLC.

The Commission claims that the defendants raised about $ 14.8 million through an initial coin offering (ICO) in 2017 - early 2018. At the same time, many investors were misled, as the company distorted information about the conditions of the token sale and deliberately hid some significant details.

The American regulator claims that the project still has about $ 8 million of illegally raised funds. According to the SEC, these assets must be frozen immediately.

Amid this news, the Veritaseum (VERI) rate has fallen by 70%. Now the coin is trading near the $ 5 mark, although at the beginning of 2018 its rate was approaching $ 500.

Veritaseum was created as a financial p2p platform, involving the movement of capital without traditional intermediaries. Also, VERI was positioned as a utility token for use in consulting services and access to various research works.

In 2017, Veritaseum blockchain startup fell victim to hackers, having lost $ 8.4 million from ICO investors.