- The Manhattan federal courtroom has sentenced EminiFX CEO Eddy Alexandre to 9 years in jail.
- Alexandre defrauded over 25,000 traders out of $248 million by means of his crypto and foreign exchange platform.
- The sentence got here greater than 4 months after the crypto fraudster pled responsible to commodities fraud.
The Manhattan federal courtroom has handed EminiFX founder and CEO Eddy Alexandre a nine-year sentence for perpetrating a crypto ponzi scheme and netting tons of of thousands and thousands of {dollars} from hundreds of traders. The sentence got here greater than 4 months after Alexandre pled responsible to commodities fraud earlier this 12 months.
Over 25,000 Buyers Defrauded By way of Crypto & Foreign exchange Platform
In accordance with a report by Bloomberg, U.S. District Choose John Cronan sentenced Eddy Alexandre to 9 years in jail for perpetrating a ponzi scheme and defrauding over 25,000 traders out of greater than $248 million by means of his crypto and foreign exchange platform. The EminiFX CEO beforehand agreed to forfeit $248.8 million as a part of his plea deal.
Alexandre managed to web over $248 million between September 2021 and Might 2022. He lured greater than 25,000 traders by providing engaging returns of 5% per week. Nevertheless, the crypto and foreign exchange platform was operated as a multilevel advertising scheme, the place outdated traders have been inspired to get new customers for the platform.
Most egregiously, Alexandre recruited a lot of his traders by exploiting his place of belief inside his church and the Haitian neighborhood, even going as far as to enlist members of the church to assist recruit EminiFX traders.”
Damian Williams, the U.S Legal professional for the Southern District of New York
As per a press launch by the US Division of Justice, Eddy Alexandre invested a fraction of the cash entrusted to him. Nevertheless, the restricted investments blew up, resulting in thousands and thousands of {dollars} in losses. He additionally diverted roughly $14.7 million to his private checking account and splurged over $155,000 of buyer funds to purchase a BMW for himself. His lavish spending additionally included a $13,000 cost to Mercedes Benz.