New York Court Grants Continuance in OneCoin-Connected David Pike’s Case

Ruja Ignatova OneCoin crypto ponzi scam

The New York Southern District Court determined that the lawsuit against David Pike, who is connected to the crypto Ponzi scam OneCoin, would go on according to a recent court order.

The latest court order from the New York District Court reveals that there is an ongoing discussion regarding the potential for a pre-indictment disposition for David Pike. Therefore, the court is granting the case a continuance up until the 12th day of January 2020.

As part of its effort to keep up its fake facade as a legit crypto venture, OneCoin apparently joined forces with a private equity fund management company, which promoted private equity funds known as the Fenero Funds. Unbeknownst to OneCoin’s users and the general public, the equity fund management company was a part of OneCoin’s team. It was all part of the plan from the very start.

The private equity fund management firm helped OneCoin to launder the proceeds from the scam. David Pike, the defendant in the ongoing case, held the position of the Chief Operating Officer (COO) of the private equity fund management firm until August when the scheme was busted.

And the court is not slamming the brakes quite yet. It is out to get everyone associated with the crypto heist. Like Scott, Pike is currently charged with conspiracy to commit money laundering and bank fraud.

Although Pike initially denied any knowledge of the OneCoin scam, investigations revealed that he, in fact, played a major part in the scheme. He knew very well that the Fenero Funds was used to launder proceeds of what we have come to know as probably the greatest crypto scam of all times – the OneCoin pyramid scheme.

The complaint filed against Pike by the authorities accuses him of aiding the pyramid scheme by pretty much lying to everyone: to FBI agents, to IRS investigators, police detectives and the prosecutors.

Brother and Lawyer Already Convicted of Crypto Fraud

The effort the authorities have made so far is highly commendable. Yet, the real mastermind behind the cryptocurrency scam, Ruja Ignatova, is still on the run and in the wind. Ruja’s brother Konstantin Ignatov, however, was caught by U.S. authorities and already pleaded guilty to fraud.

Since the bust in August, relevant authorities have been working hard to bring all the ‘partners in crime’ to justice. So far, Mark Scott, who allegedly managed about $400 million of the said fraudulent fund has been convicted of conspiracy to commit money laundering and bank fraud.

If there should be a list of all the greatest crypto frauds ever, I bet the OneCoin pyramid scheme would be at the top of that list. This cryptocurrency scam was so meticulously managed and operated that anyone would believe it checked all the legal boxes while, in fact, it just might be the biggest fraudulent bubble in the crypto sphere ever.

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