Court Orders Top Executives at IcomTech to Pay $5 Million in Penalties for Running Fraudulent Scheme
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IcomTech Executives Ordered to Pay $5 Million for Running Scam
Four high-ranking executives at IcomTech have been ordered by a Los Angeles federal court to pay a staggering $5 million in penalties for running a scam that defrauded over 190 individuals, including those from the United States and other countries. The scammers convinced their victims to invest in a fake crypto mining and trading platform with promises of generous returns.
The court found the five executives guilty of violating various regulations set by the U.S. Commodity Exchange Act (CEA) and other rules established by the Commodity Futures Trading Commission (CFTC), the country’s main commodities watchdog.
According to reports, IcomTech persuaded its victims to invest in a fake crypto mining and trading project with the assurance that they would receive a portion of the profits. However, instead of using the funds as promised, the scammers misused most of it for their own gain.
The authorities have already sentenced three of the five executives to prison terms ranging from five to ten years for their roles in running the Ponzi scheme. The scam’s main promoter, Gustavo Rodriguez, received an eight-year sentence, while IcomTech founder David Carmona was handed a 10-year sentence.
In a related development, the Commodity Futures Trading Commission (CFTC) had charged IcomTech operators with fraud as far back as May 2023. In September of that year, former CEO Marco Ruiz admitted to operating a Ponzi scheme.
Source: fullycrypto.com
