Title: Cyprus Leads International Operation to Dismantle €645 Million Medicinal Cannabis Scam

Nine Suspects Arrested and €5 Million in Assets Frozen

Cyprus played a crucial role in an international operation to dismantle a fraudulent investment scheme involving medicinal cannabis production. This joint effort resulted in the arrest of nine individuals and the freezing of over €5 million in assets.

Key Points:

1. Europol-assisted operation involving 400 officers from 11 countries
2. MOKAS in Cyprus contributes to freezing €4 million in related accounts
3. Over 550,000 European victims lured by fraudulent promises
4. Sudden scheme collapse leaves investors unable to withdraw funds
5. €4.7 million in assets seized, including €1.5 million in cryptocurrencies and €106,000 in cash
6. One suspect apprehended in the Dominican Republic with Europol’s help
7. Overall turnover of the investment scheme: €645 million

Europe-wide Fraud Uncovered

An international team of law enforcement agencies, with Europol and Eurojust at the helm, disclosed that the fraudsters had lured over 550,000 European victims since 2020 through social media. The victims were promised attractive investment opportunities in medicinal cannabis cultivation without being informed of the investment strategy. Initially, victims received returns, but the scam came to a sudden end in July 2022, leaving them unable to withdraw their funds.

Seized Assets and Arrests

Authorities managed to seize assets worth a combined €4.7 million. These assets included €1.5 million in cryptocurrencies and €106,000 in cash. Nine individuals were arrested in connection to the scheme. One key suspect was apprehended in the Dominican Republic, with Europol providing operational coordination and analytical support.

The Importance of the Operation

The investment scheme, with an astounding turnover of €645 million, had a significant financial impact beyond personal losses for European victims. Europol highlighted the importance of this operation in preserving public trust and maintaining the integrity of the European financial market.