rewrite this content using a minimum of 1000 words and keep HTML tags
A federal judge in Massachusetts has ordered two companies and their former executives to pay nearly $26 million in penalties and repayments over a fraudulent cryptocurrency scheme.
The case, brought by the Commodity Futures Trading Commission (CFTC) on June 11, focused on My Big Coin Pay Inc., My Big Coin Inc., and the individuals behind them, Mark Gillespie and John Roche.
According to the ruling, the defendants must pay $19.32 million in civil fines to the CFTC and return $6.44 million to 28 investors who were misled.
Did you know?
Subscribe – We publish new crypto explainer videos every week!
How to Avoid Rug Pulls in Crypto? (5 Ways Explained)
They are also permanently banned from taking part in any market activity that falls under the CFTC’s authority.
The CFTC accused Gillespie, Roche, and a third man, Randall Crater, of promoting My Big Coin (MBC) between 2014 and 2017 using false claims. The group allegedly told investors that MBC was backed by gold, held real value, and could be traded like other cryptocurrencies.
The CFTC stated that these claims were not true and that the information shared with investors was either misleading or incomplete.
Another person named in the case, Michael Kruger, was no longer part of the legal process after his passing. The remaining defendants have not contested the charges, which led to the default judgment.
While the court ordered the repayment of investor funds, the CFTC warned that full recovery is unlikely. The agency stated that the defendants may not have enough money or assets to repay everyone who lost funds in the scheme.
On June 9, the Department of Justice arrested Iurii Gugnin, the founder of the crypto firm Evita Pay. Why? Read the full story.
Having completed a Master’s degree in Economics, Politics, and Cultures of the East Asia region, Aaron has written scientific papers analyzing the differences between Western and Collective forms of capitalism in the post-World War II era.With close to a decade of experience in the FinTech industry, Aaron understands all of the biggest issues and struggles that crypto enthusiasts face. He’s a passionate analyst who is concerned with data-driven and fact-based content, as well as that which speaks to both Web3 natives and industry newcomers.Aaron is the go-to person for everything and anything related to digital currencies. With a huge passion for blockchain & Web3 education, Aaron strives to transform the space as we know it, and make it more approachable to complete beginners.Aaron has been quoted by multiple established outlets, and is a published author himself. Even during his free time, he enjoys researching the market trends, and looking for the next supernova.
and include conclusion section that’s entertaining to read. do not include the title. Add a hyperlink to this website [http://defi-daily.com] and label it “DeFi Daily News” for more trending news articles like this
Source link
