Five individuals have been sentenced in Austria for their roles in a massive $21.6 million cryptocurrency scam that deceived approximately 40,000 investors. The defendants faced charges including serious commercial fraud, money laundering, and operating pyramid schemes associated with the EXW Wallet and EXW token.
According to Heute, the trial, which concluded at the Klagenfurt Regional Court, marks the largest in Austrian history, lasting 60 days with over 300 hours of hearings. Judge Claudia Bandion-Ortner announced the verdicts after careful deliberation.
Two defendants received five-year prison sentences, while two others were sentenced to 30 months, and one individual was given an 18-month term. Five additional defendants were acquitted, while others remain at large.
Investigations uncovered that the perpetrators led extravagant lifestyles, utilizing stolen funds to finance lavish parties in Dubai, private jet travel, luxury vehicles, and even a shark tank in a Bali villa. Reports indicated that over $100,000 was spent on sex workers. Prosecutors alleged that the defendants fabricated an illusion of profitability to attract investors, with no legitimate investment projects ever coming to fruition.
The scheme, which was primarily based in Dubai, involved transporting significant amounts of stolen cash back to Austria in plastic bags. Prosecutors suggested that the scale of the fraud exceeded initial estimates, with potential damages ranging between €14 million and €120 million based on witness accounts.
During the trial, the defense argued that the defendants aimed to establish genuine investment opportunities, asserting that the situation spiraled out of control. Conversely, the prosecution argued that the fraudulent nature of the operation was premeditated.
As the case draws to a close, the defendants not only face prison sentences but also substantial legal costs and compensation payments. Some have already expressed intentions to appeal the verdicts, while investigations into additional fraudulent activities linked to the defendants, including a cannabis investment scheme, continue.
Related topics:
Bitcoin Stabilizes at $67,000 as Goatseus Maximus (GOAT) Soars 50%
Pi Network Introduces Node Version 0.5.0 as Mainnet Preparation Advances
