The Federal Bureau of Investigation (FBI) says it has seized millions of dollars worth of bitcoin from foreign scammers who target the elderly. The scammers posed as US law enforcement and tricked victims into transferring money for their “safekeeping.”
The FBI says it has seized Bitcoin from scammers abroad
The United States Attorney for the District of Connecticut and the Acting Special Agent in Charge of the New Haven Division of the Federal Bureau of Investigation (FBI) announced Friday that bitcoin and other digital assets have been seized in connection with a fraudulent scheme targeting elderly. They detailed:
An investigation of a fraud scheme targeting vulnerable victims resulted in the confiscation of approximately 151 bitcoins, as well as other digital assets.
The case is being investigated by the FBI, the United States Secret Service and the United States Marshals Service. At the time of writing, the value of the bitcoin allegedly seized was approximately $3.5 million.
The fraud, which occurred around October 2020, involved individuals abroad pretending to be members of US law enforcement agencies. They targeted “vulnerable victims, including first-generation US citizens and seniors.” authorities said. Through phone calls, they told the victims that their identities had been compromised. After gaining the trust of the victims, the scammers requested money transfers for “safekeeping” with the promise of repaying the funds plus interest. The details of the announcement:
Once people abroad had access to the victims’ money, they moved the money through multiple bank accounts and converted it into digital currency in the form of bitcoin and other cryptocurrencies.
“Law enforcement investigators traced the victims’ money through various accounts and identified a digital wallet containing bitcoin and other cryptocurrencies that had been purchased with the victims’ money,” the announcement added. Authorities noted that overseas fraudsters are still at large.
The United States Attorney’s Office has been granted “a civil asset forfeiture order for the digital wallet,” the announcement clarifies, explaining:
The US Attorney’s Office used the civil asset forfeiture procedure because the digital assets were the proceeds of wire fraud.
What do you think about this case? Let us know in the comments section.
image credits: Shutterstock, Pixabay, Wiki Commons
Disclaimer: This article is for informational purposes only. It is not a direct offer or a solicitation of an offer to buy or sell, or a recommendation or endorsement of any product, service or company. bitcoin.com does not provide investment, tax, legal or accounting advice. Neither the company nor the author is responsible, directly or indirectly, for any damage or loss caused or alleged to be caused by or in connection with the use of or reliance on any content, goods or services mentioned in this article.