{"id":9662,"date":"2023-01-09T08:45:00","date_gmt":"2023-01-09T08:45:00","guid":{"rendered":"http:\/\/cryptoheretostay.com\/?p=9662"},"modified":"2023-01-09T08:45:04","modified_gmt":"2023-01-09T08:45:04","slug":"sec-charges-team-behind-coindeal-crypto-fraud-that-promised-500000-times-investment-returns","status":"publish","type":"post","link":"https:\/\/cryptoheretostay.com\/?p=9662","title":{"rendered":"SEC Charges Team Behind Coindeal Crypto Fraud That Promised 500,000 Times Investment Returns"},"content":{"rendered":"<p> <script type=\"text\/javascript\">\r\namzn_assoc_placement = \"adunit0\";\r\namzn_assoc_tracking_id = \"totafreearti-20\";\r\namzn_assoc_ad_mode = \"search\";\r\namzn_assoc_ad_type = \"smart\";\r\namzn_assoc_marketplace = \"amazon\";\r\namzn_assoc_region = \"US\";\r\namzn_assoc_default_search_phrase = \"crypto\";\r\namzn_assoc_default_category = \"All\";\r\namzn_assoc_search_bar = \"false\";\r\namzn_assoc_title = \"\";\r\namzn_assoc_rows =\"1\";\r\n<\/script>\r\n<script src=\"\/\/z-na.amazon-adsystem.com\/widgets\/onejs?MarketPlace=US\"><\/script><br \/>\n<\/p>\n<p><strong>The U.S. Securities and Exchange Commission (SEC) has charged the team behind Coindeal, a $45 million fraudulent crypto investment scheme. The regulator explained that the defendants falsely claimed that Coindeal \u201cwould generate investment returns of more than 500,000 times for investors.\u201d<\/strong><\/p>\n<h2>SEC Takes Action Against Coindeal Crypto Fraud<\/h2>\n<p>The U.S. Securities and Exchange Commission (SEC) announced Wednesday that it has charged the creator of crypto investment scheme Coindeal and seven others in connection with the $45 million fraud.<\/p>\n<p>Describing Coindeal as \u201ca brazen and far-reaching unregistered offering fraud conducted between at least 2018 and 2022,\u201d the securities regulator detailed:<\/p>\n<p>Coindeal \u2026 raised more than $45 million from sales of unregistered securities to tens of thousands of investors worldwide.<\/p>\n<p>The SEC explained that creator Neil Chandran and promoters Garry Davidson, Michael Glaspie, Amy Mossel, and Linda Knott \u201cfalsely claimed that investors could generate extravagant returns by investing in a blockchain technology called Coindeal that would be sold for trillions of dollars to a group of prominent and wealthy buyers.\u201d<\/p>\n<p>However, the regulator said no Coindeal sale ever occurred and no distributions were made to investors. The defendants \u201ccollectively misappropriated millions of dollars of investor funds for personal use, and Chandran used investor funds to purchase items such as cars, real estate, and a boat,\u201d the SEC wrote.<\/p>\n<p>The securities watchdog also charged AEO Publishing Inc., Banner Co-Op Inc., and Bannersgo LLC for their involvement in the fraudulent crypto investment scheme.<\/p>\n<p>Daniel Gregus, director of the SEC\u2019s Chicago Regional Office, said:<\/p>\n<p>We allege the defendants falsely claimed access to valuable blockchain technology and that the imminent sale of the technology would generate investment returns of more than 500,000 times for investors.<\/p>\n<p>The director added: \u201cAs alleged in our complaint, in reality, this was all just an elaborate scheme where the defendants enriched themselves while defrauding tens of thousands of retail investors.\u201d<\/p>\n<p>In June last year, the U.S. Department of Justice (DOJ) indicted Chandran on three counts of wire fraud and two counts of monetary transaction in unlawful proceeds in connection with the Coindeal crypto fraud scheme.<\/p>\n<p><em><strong>What do you think about the SEC\u2019s action against Coindeal? Let us know in the comments section below.<\/strong><\/em><\/p>\n<p>Kevin Helms <\/p>\n<p class=\"article__body__author__info__about\">\nA student of Austrian Economics, Kevin found Bitcoin in 2011 and has been an evangelist ever since. His interests lie in Bitcoin security, open-source systems, network effects and the intersection between economics and cryptography.<\/p>\n<p><i class=\"td-icon-font td-icon-mail-1\"\/><\/p>\n<p class=\"images_credits\"><em>Image Credits: Shutterstock, Pixabay, Wiki Commons<\/em><\/p>\n<p><strong>Disclaimer<\/strong>: This article is for informational purposes only. It is not a direct offer or solicitation of an offer to buy or sell, or a recommendation or endorsement of any products, services, or companies. Bitcoin.com does not provide investment, tax, legal, or accounting advice. Neither the company nor the author is responsible, directly or indirectly, for any damage or loss caused or alleged to be caused by or in connection with the use of or reliance on any content, goods or services mentioned in this article.<\/p>\n<p>More Popular NewsIn Case You Missed It<\/p>\n<p><script type=\"text\/javascript\">\r\namzn_assoc_placement = \"adunit0\";\r\namzn_assoc_tracking_id = \"totafreearti-20\";\r\namzn_assoc_ad_mode = \"search\";\r\namzn_assoc_ad_type = \"smart\";\r\namzn_assoc_marketplace = \"amazon\";\r\namzn_assoc_region = \"US\";\r\namzn_assoc_default_search_phrase = \"bitcoin\";\r\namzn_assoc_default_category = \"All\";\r\namzn_assoc_search_bar = \"false\";\r\namzn_assoc_title = \"\";\r\namzn_assoc_rows =\"1\";\r\n<\/script>\r\n<script src=\"\/\/z-na.amazon-adsystem.com\/widgets\/onejs?MarketPlace=US\"><\/script><br \/>\n<br \/><a href=\"https:\/\/news.bitcoin.com\/sec-charges-team-behind-coindeal-crypto-fraud-that-promised-500000-times-investment-returns\/\" target=\"_blank\" rel=\"noopener\">Source<\/a><\/p>\n","protected":false},"excerpt":{"rendered":"<p>The U.S. Securities and Exchange Commission (SEC) has charged the team behind Coindeal, a $45 million fraudulent crypto investment scheme. The regulator explained that the defendants falsely claimed that Coindeal \u201cwould generate investment returns of more than 500,000 times for investors.\u201d SEC Takes Action Against Coindeal Crypto Fraud The U.S. Securities and Exchange Commission (SEC) [&hellip;]<\/p>\n","protected":false},"author":1,"featured_media":9663,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"footnotes":"","_wp_rev_ctl_limit":""},"categories":[1],"tags":[],"class_list":["post-9662","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-crypto-updates"],"_links":{"self":[{"href":"https:\/\/cryptoheretostay.com\/index.php?rest_route=\/wp\/v2\/posts\/9662","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/cryptoheretostay.com\/index.php?rest_route=\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/cryptoheretostay.com\/index.php?rest_route=\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/cryptoheretostay.com\/index.php?rest_route=\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/cryptoheretostay.com\/index.php?rest_route=%2Fwp%2Fv2%2Fcomments&post=9662"}],"version-history":[{"count":1,"href":"https:\/\/cryptoheretostay.com\/index.php?rest_route=\/wp\/v2\/posts\/9662\/revisions"}],"predecessor-version":[{"id":9664,"href":"https:\/\/cryptoheretostay.com\/index.php?rest_route=\/wp\/v2\/posts\/9662\/revisions\/9664"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/cryptoheretostay.com\/index.php?rest_route=\/wp\/v2\/media\/9663"}],"wp:attachment":[{"href":"https:\/\/cryptoheretostay.com\/index.php?rest_route=%2Fwp%2Fv2%2Fmedia&parent=9662"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/cryptoheretostay.com\/index.php?rest_route=%2Fwp%2Fv2%2Fcategories&post=9662"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/cryptoheretostay.com\/index.php?rest_route=%2Fwp%2Fv2%2Ftags&post=9662"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}