NEW YORK (AP) — An Australian man pleaded responsible Thursday to securities fraud for dishonest traders of over $90 million by squandering cash they spent on his cryptocurrency fund, prosecutors mentioned.
Stefan He Qin, 24, entered the plea to a single rely of the fraud cost in Manhattan federal courtroom. Authorities mentioned the fraud occurred from 2017 to 2020 as Qin operated the fund titled Virgil Sigma.
“Stefan He Qin drained nearly all the belongings from the $90 million cryptocurrency fund he owned, stealing traders’ cash, spending it on indulgences and speculative private investments, and mendacity to traders concerning the efficiency of the fund and what he had performed with their cash,” U.S. Lawyer Audrey Strauss mentioned in a launch.
She mentioned Qin then tried to steal cash from one other fund he managed to fulfill the redemption calls for of the defrauded traders within the former fund.
“The entire home of playing cards has been revealed, and Qin now awaits sentencing for his brazen thievery,” Strauss mentioned.
Prosecutors mentioned Qin cheated dozens of traders, together with many in the US.
They mentioned the fraud was revealed final summer season when Qin was having issue assembly redemption requests from traders. Qin faces as much as 20 years in jail at a Could 20 sentencing.
A lawyer for Qin didn’t instantly reply to a message looking for remark.
Copyright 2021 The Related Press. All rights reserved. This materials might not be printed, broadcast, rewritten or redistributed with out permission.