A convicted crypto scammer has been sentenced to seven years in prison by a U.S. district court judge.
Earlier this year, following a five-week jury trial, Rowland Marcus Andrade was convicted on wire fraud and money laundering charges in connection with the fraudulent marketing of a crypto asset, AML Bitcoin. Millions of dollars were raised from investors, allegedly based on false representations about the crypto asset itself and the technology behind it.
According to court filings, investors were duped out of about US$10 million based on the misrepresentations, including a false claim that the Panama Canal Authority was going to accept AML Bitcoin from ships using the canal.
About US$2 million of investors’ money was diverted and laundered by Andrade for personal use, U.S. authorities alleged.
“Rowland Marcus Andrade promised innovation but delivered deception. He misled innocent people who believed they were investing in the future of digital currency. Instead, their money was used to fund his personal luxury,” said Sanjay Virmani, FBI special agent in charge, in a release.
Following his conviction, Andrade has now been sentenced to 84 months in federal prison, followed by three years of supervised release.
He was also ordered to forfeit the proceeds of his crime. The specific amount of forfeiture and disgorgement will be determined at a hearing on Sept. 16.