Former Guam Resident Sentenced for Multi-Million Dollar Cryptocurrency Investment Fraud Scheme
US District Court Judge Vince Chhabria sentenced William Koo Ichioka to four years in prison and ordered him to pay a $5 million fine.
Background
- Ichioka, a former resident of Guam and St. John’s School alumnus, defrauded over 100 individuals and entities of tens of millions of dollars.
- He was a successful private investor, financial advisor, and multimillionaire by the age of 23 according to his school’s website before his criminal activities.
The Fraudulent Scheme (2018-2019)
Ichioka, who operated under the name “Ichioka Ventures,” promised investors their funds would be invested in various securities and commodities, including:
- Cryptocurrencies and cryptocurrency arbitrage
- Futures and derivatives
- Foreign exchange currency transactions
Instead, he used their funds for personal expenses:
- Luxury purchases of cars, watches, jewelry, and bills at restaurants and bars
- Personal residence
- Online purchases
He also:
- Falsified financial documents to deceive prospective investors
- Failed to provide tax documentation to investors
- Willfully failed to report income to the IRS
The Extent of the Fraud
- Ichioka owes non-family investors in “Ichioka Ventures” at least $21 million.
- His family members are owed over $40 million.
Charges and Consequences
- Ichioka was charged with one count of wire fraud, two counts of aiding or assisting in the preparation of a false or fraudulent tax return, one count of securities fraud, and one count of commodities fraud in June 2023.
The Consequences
- Five years of supervised release after his prison term
- Hearing on restitution is scheduled for February 20, 2024
Quotes
Predatory financial schemes like Ichioka’s are not victimless, nor do they escape justice as evidenced by today’s sentencing. — Michael Mosley, Acting Special Agent in Charge, IRS Criminal Investigation Oakland Field Office
The FBI and our law enforcement partners will continue to pursue criminals who choose to commit financial fraud and hold them accountable for their crimes. — Robert Tripp, FBI Special Agent in Charge
Resources
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