A Swedish nationwide was sentenced to fifteen years in jail Thursday after pleading responsible to defrauding hundreds of individuals in a multimillion-dollar Ponzi scheme, the Justice Division introduced.
Roger Nils-Jonas Karlsson, 47, pleaded responsible to numerous securities fraud, wire fraud, and cash laundering fees on March 4 for his function within the scheme, which solicited victims to buy shares in a fake funding enterprise he named “Japanese Steel Securities,” in line with courtroom paperwork.
The victims, who have been advised they’d obtain massive returns, paid into the scheme utilizing Bitcoin and different digital currencies. As a substitute of investing the funds, Karlsson transferred them into his private financial institution accounts and used the cash to purchase houses, a racehorse, and a resort in Thailand for himself, according to the Justice Division.
Throughout the interval of the scheme, which lasted from 2011 till he was arrested in Thailand in June 2019, Karlsson labored to evade detection by authorities through the use of aliases, shell firms, by rebranding his challenge, and by giving sufferer traders account statements meant to replace them on the standing of their belongings, the Justice Department‘s assertion famous.
Karlsson additionally falsely advised victims he was working with the U.S. Securities and Alternate Fee to elucidate delays in paying out their returns.
“The investigation into Roger Karlsson’s fraud uncovered a frighteningly callous scheme that lasted greater than a decade throughout which Karlsson focused hundreds of victims, together with financially weak seniors, to callously rob them of their belongings and all to gasoline an extravagant life-style surrounded by luxurious condominiums and lavish worldwide holidays,” stated performing U.S. Lawyer Stephanie Hinds for the Northern District of California in a press release.
Karlsson’s scheme is “one of many largest to be sentenced thus far,” Hinds stated.
Alongside the jail sentence, Decide Charles Breyer of the U.S. District Court docket for the Northern District of California ordered Karlsson to forfeit the Thai resort and different properties and to forfeit $16,263,820 to be paid as restitution to the sufferer traders.
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Authentic Writer: Jeremy Beaman