$33 Million Charged to Company for Fraudulent Digital Asset Scheme
On February 11th, Q3 Holdings, LLC and Q3 I, LP and its principal, Michael Ackerman, were charged with over $33 million in a fraudulent digital asset scheme by the U.S. District Court of the Southern District of New York. The Commodity Futures Trading Commission (CFTC) made public the complaint, alleging that the defendants performed fraud where they requested funds to supposedly trade digital assets and went on to embezzle the funds.
Only a few of the defendant’s customers’ funds were actually sent to digital asset trading accounts. Customers’ were receiving fake accounting statements, newsletters and screenshots showing amount of money under Q3’s management. Over the span of August 2017 to December 2019, the defendants allegedly operated this scheme and made it difficult for anyone to transfer or take out customer funds. Principal, Michael Ackerman’s arrest, has been announced for wire and securities fraud, and misappropriation.
To read the press release in full: https://www.cftc.gov/PressRoom/PressReleases/8115-20?utm_source=govdelivery
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