In addition to the prison term, the district judge Robert Lasnik appointed each accused a fine of $ 25,000 and 360 hours of public work under supervision. To serve the sentence, Potapenko and Turygin can return to their homeland, to Estonia. The verdict also provides for alienation of cryptocurrencies, money, cars, real estate and mining equipment seized by American law enforcement officers. The total value of assets confiscated from the defendants exceeds $ 450 million.
According to court documents, Potapenko and Turygin managed the Hashflare mining service, concluding contracts with clients and promising them a share of mining. From 2015 to 2019, the total sales volume of Hashflare has amounted to more than $ 577 million. In the online management, the company showed the depositors false information about their income, the investigation is confident. It found out that Hashflare did not have enough computing power to extract the vast majority of the cryptocurrency project called by the team.
According to the prosecution, Potapenko and Turygin used the attracted funds of investors to buy real estate, luxury cars and investments in cryptocurrencies. Most of the assets have already been frozen, the US Department of Justice said. The prosecutor’s office insisted on a ten -year imprisonment for the defendants, so the Ministry of Justice is considering appealing the verdict.
In November 2022, Potapenko and Turygin were arrested in Estonia and had already served 16 months in custody. In May 2024, they were extracted in the United States, where they found themselves guilty of conspiracy to make fraud using electronic communications.
Source: Bits
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