TechFlow, July 9 — According to the U.S. Department of Justice, Michael Shannon Sims, founder of OmegaPro, and Juan Carlos Reynoso, head of its Latin American operations, have been charged with allegedly running an international investment scam worth over $650 million.
The fraud has been operating since early 2019, during which the two defendants falsely promised investors returns of 300% within 16 months through foreign exchange trading. Investors were required to purchase "investment packages" using cryptocurrency. In January 2023, after OmegaPro claimed it had suffered a cyberattack, victims were unable to withdraw funds from either the OmegaPro platform or Broker Group, the platform it claimed to have transferred funds to, resulting in millions of dollars in losses. Investigations revealed that the illicit funds were ultimately funneled into wallets controlled by company executives and then dispersed.
Each defendant faces one count of conspiracy to commit wire fraud and one count of conspiracy to commit money laundering, each carrying a maximum penalty of 20 years in prison.
