'Sunken Treasures Backed' ICO to be Suspected of Fraud

Branch of the Shinil Group in Singapore launched the sale of Shinil Gold Coin (SGC) tokens, "secured by drowned treasures" from Dimitry Donskoy ship
08 August 2018   995

In the office of the South Korean company Shinil Group, which went to the ICO with "tokens, secured by treasures from the sunken ship," were searched. Authorities suspect the company of fraud, The Korea Herald writes.

On July 15, representatives of the Shinil Group published photographs of the cruiser Dmitry Donskoy allegedly discovered by them at the bottom of the Sea of Japan.

'Treasure Ship'
'Treasure Ship'
'Treasure Ship'
'Treasure Ship'
 

They said that the cruiser, which sank in 1905, carried 200 tons of gold worth 130 trillion Korean won ($ 116 billion).

At the same time, a branch of the Shinil Group in Singapore launched the sale of Shinil Gold Coin (SGC) tokens, "secured by drowned treasures." Investors were promised that by the end of 2018 the price of the token will rise from 200 to 10 thousand won.

At the next press conference, the Shinil Group adjusted the value of the treasure to 10 trillion won, although in the official request for seabed research, the estimated value of the treasures was 1.2 billion won.

At the same time, another unnamed company claimed its rights to the cruiser, claiming that it found ship first. On its part, a complaint was filed demanding that criminal proceedings be initiated against Shinil Group, after which the latter was closed.

Currently, the head of the Shinil Group is not allowed to leave the country, another key suspect is wanted.

CEO AriseBank Admitted to Fraud

Now Jared Rice faces up to 120 years in prison, however, confession may reduce this period to 20 years
22 March 2019   150

AriseBank CEO Jared Rice confessed to deceiving investors for $ 4.2 million in cryptocurrency. The plea agreement filed in the federal court of Dallas, Dallas News кузщкеы.

According to the document, Rice promised investors a "guaranteed return" of up to 20% of the invested funds, as well as opening bank accounts insured by the Federal Deposit Insurance Corporation and Visa-related debit and credit cards, although he did not have agreements with these companies.

The $ 4.2 million received from the ICO Rice spent on his girlfriend, lawyers, as well as on hotels, food and trips by Uber.

It is noteworthy that Jared Rice’s plea for cryptocurrency fraud was one of the first of its kind in the United States.

Now Rice faces up to 120 years in prison. However, confession may reduce this period to 20 years. Also, the organizer of the scheme will have to pay damages to deceived investors.

The final verdict on the case will be delivered on July 11.

Jared Rice was arrested in November 2018 on charges of fraud with unregistered securities and fraud using electronic means of communication. In December, the US Securities and Exchange Commission (SEC) obliged him and Stanley Ford, co-founder of AriseBank, to pay about $ 2.7 million as part of the settlement of the charges.