TechFlow news, on March 23, according to News.bitcoin, the U.S. Department of Justice (DOJ) announced on March 21 that $7 million in proceeds from a cryptocurrency investment fraud scheme has been recovered, and victims are now being invited to submit petitions for the funds to be returned.
Authorities stated: "These fraudulent websites mimicked legitimate cryptocurrency investment platforms but funneled victims' funds to the perpetrators through more than 75 bank accounts opened under the names of shell companies." Victims were misled into believing their investments were increasing in value, when in fact, the returns were fabricated.
After laundering the money through a series of complex domestic and international transactions, the criminals ultimately transferred the funds overseas. In June 2023, the U.S. Secret Service seized the funds from a foreign bank account, prompting the DOJ to file a civil forfeiture lawsuit.
Following a claim filed by the foreign bank, the parties reached a settlement resulting in the forfeiture of $7 million to the United States.
