Jon Barry Thompson, the accused operator of a fraudulent crypto escrow service that defrauded $7 million from two prospects, is predicted to enter
Jon Barry Thompson, the accused operator of a fraudulent crypto escrow service that defrauded $7 million from two prospects, is predicted to enter a responsible plea — with prosecutors aiming to finalize proceedings in September.
“The events count on to achieve a disposition of this matter and respectfully request that the court docket set a management date in September 2020 for the entry of that disposition,” the prosecution wrote in a letter submitted to the court docket.
In April, Thompson’s counsel, Peggy Cross-Goldenberg, indicated that either side had made “substantial progress” in direction of disposition.
4 counts of fraud
Thompson was indicted in September 2019 on 4 counts of fraud regarding his provision of cryptocurrency escrow providers by means of his agency Volantis Market Making. After being arrested in Pennsylvania, Thompson was launched on a $500,000 bail.
Prosecutors allege that Thompson obtained $three million to fund the acquisition of Bitcoin (BTC) on behalf of an organization throughout June and July of 2018. Thompson then despatched the funds to a third-party entity with out first receiving any BTC — ensuing within the obvious lack of the funds.
After allegedly mendacity to the agency in regards to the standing of the transaction, Thompson satisfied a second agency to ahead $four million to buy cryptocurrency — additionally leading to a good portion of the funds being forwarded to a 3rd social gathering with out the shopper receiving any BTC.
Thompson is going through two counts of commodities fraud — every carrying as much as 10 years imprisonment, and two counts of wire fraud — every carrying a most sentence of as much as 20 years in jail.
Thompson faces as much as 60 years in jail
Volantis can be going through civil fees filed by means of the US Commodities Futures Buying and selling Fee (CFTC), whereas Thompson can be going through a lawsuit introduced by Irish agency Symphony FS — who’re believed to have forked out the $four million to Volantis for escrow providers.