Financial Crime World

Title: Seychelles Financial Crimes Unit Investigates Potential OneCoin Ponzi Scheme Transactions Worth Over $10 Billion

Background

  • The Seychelles Financial Crime Investigation Unit (FCIU) is currently investigating potential transactions linked to the alleged OneCoin Ponzi scheme.
  • A complaint was lodged by local lawyer, Jonathan Levy.

Investigation

  • Approximately 230,000 bitcoin, along with cash and property valued at over $10 billion were transferred in documents submitted to the FCIU.
  • Tania Potter, the head of legal affairs for the FCIU, confirmed the receipt of the documents and stated that a verification process is underway to identify any connections to the Seychelles.

Concerns Raised by Local Lawyer

  • Jonathan Levy expressed concerns about the potential misuse of the Seychelles jurisdiction and involvement of public officials in the alleged crypto crime.
  • He raised questions about the suitability of the Seychelles as a host for other crypto ventures.

The OneCoin Ponzi Scheme

  • The OneCoin Ponzi scheme promised investors that they could mine OneCoins and that these coins held actual value.
  • Investigations revealed that OneCoins did not exist on any blockchain and their perceived value was artificially generated.
  • The scheme is believed to have defrauded around $4 billion from millions of investors.

Anti-Money Laundering Concerns

  • Levy suggested that the lack of regulatory oversight in the Seychelles for crypto asset transactions of such a considerable scale raises serious anti-money laundering concerns.
  • He asserted that if the Seychelles is unable to effectively regulate transactions of this magnitude, due diligence for cryptocurrency companies operating within its jurisdiction needs to be addressed.

Conclusion

The Seychelles Financial Crimes Investigation Unit (FCIU) is currently investigating potential transactions linked to the OneCoin Ponzi scheme, following a complaint lodged by local lawyer, Jonathan Levy. The documents submitted to the FCIU indicate the transfer of approximately 230,000 bitcoin, along with cash and property valued at over $10 billion. The case raises concerns about the potential misuse of the Seychelles jurisdiction and involvement of public officials in the alleged crypto crime. Additionally, the lack of regulatory oversight for such significant crypto transactions highlights potential anti-money laundering concerns. Upon completion of the verification process, the FCIU will make a decision on the next steps in the investigation.