- Telecommunications Giant Vodafone Leaves the Libra Association
- Group of Central Banks Assesses Developing Central Bank Digital Currencies
- South Korea Might Impose 20 Percent Tax on Cryptocurrency Profits
- Report: Terrorists Increasingly Use Crypto to Raise Funds Anonymously
- Canadian Securities Administrators Subject Crypto Exchanges to Securities Laws
The brother Ruja Ignatova, Konstantin Ignatov, has confessed to his involvement in the crypto fraud of OneCoin. He pleaded guilty to multiple charges such as fraud and money laundering.
Authorities have concluded that over $4 billion was fraudulently raised internationally in what appears to have been a cryptocurrency Ponzi scheme. The organization behind OneCoin that is based in Bulgaria denies all allegations and remains operational.
Ignatov was arrested in March, from the Los Angeles International Airport. After which, he signed a plea deal file on October 4th that was later made public recently on November 12th. The document was obtained by a reporter of Inner City Press, named Matthew Russell Lee.
According to the terms of the plea deal, Ignatov is exempt from facing any further criminal charges related to his involvement with OneCoin, except violations of tax that may surface later. The document also states that Ignatov’s compliance with the authorities could reveal activities of people who will be violent towards him or his family. It further states that he can apply for a US witness protection program where he can be allotted a completely new identity.
He has not been sentenced yet but could be looking at facing 90 years in prison due to his role in the fraudulent scheme. He has testified in the trial related to a US lawyer who was accused of laundering part of the proceeds from OneCoin.
The attorney Mark Scott allegedly routed almost $400 million and tried to cover sources of the funds and the original ownership out of the United States. He will be facing one charge of conspiracy to commit money laundering and another charge to commit bank fraud. Currently, he has pleaded not guilty.
Where Is Ruja Ignatova?
Ignatov also revealed more details regarding the mysterious disappearance of his sister, Dr. Ruja Ignatova, during the trail. According to his statement, Dr. Ignatova was living in Bulgaria before she disappeared. He further stated that his sister had told him that OneCoin critics were haters and that she was tired. She was concerned that somebody in her close circle might turn her in to the FBI.
Ignatov said that although he has not spoken to her since she has disappeared, she got a hold of a passport and asked him to buy her plane tickets to Vienna and Athens. He says that he tried to find her by hiring a private detective, but the search was unsuccessful. US authorities claim that the trial of Mr. Scott will be concluded by next week.