Four individuals involved in a large-scale Bitcoin and other crypto assets scam that resulted in the theft of $25 million have been sentenced to a combined 15 years in prison. They were found guilty of fraud and money laundering at Preston Crown Court, according to the CPS report.
Three Months Fraudulent Bitcoin Scheme
The group, consisting of three men and one woman ranging in age from 24-54, participated in a scheme to acquire £21 million (US$25 million) through a fraudulent Bitcoin scheme between October 2017 and January 2018. Their leader, James Parker, who operated the scheme from his home in Blackpool, passed away in 2021 before facing charges.
Despite this, the prosecution service unit, in collaboration with the North West Regional Organised Crime Unit, was able to identify and seize assets acquired through illegal means, totaling approximately £1,000,000 through a Civil Recovery Order in the High Court.
In court, it was revealed that Parker had exploited a loophole to illicitly withdraw £15 million worth of crypto assets from his trading account on an Australian-based exchange. His associates, Kelly Caton and Jordan Robinson were also found to have removed £2.7 million and £1.7 million, respectively, through deceitful means.
Parker’s financial advisor, Stephen Boys, collaborated with a UK national based in the United Arab Emirates to convert the stolen cryptocurrency into cash and then laundered the money through various foreign-based online accounts.
A Crown Prosecution Service spokesman said:
A very significant amount of the laundered assets have been returned or are in the process of being recovered on the behalf of the Australian cryptocurrency exchange.
Additionally, Jonathan Kelleher, the prosecutor, stated that the individuals in question utilized the internet from their own residences to acquire a substantial amount of Bitcoin, valued at tens of millions of pounds, which they were not entitled to possess.
However, Stephen Boys was sentenced to six years for converting and transferring criminal property. Kelly Caton and Jordan Robinson, both convicted of fraud and the illegal acquisition and conversion of criminal property, received four-and-a-half years each in jail.
James Austin-Beddoes, also found guilty of fraud and acquiring criminal property, received an 18-month suspended sentence after pleading guilty to converting criminal property, per the report.
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