IcomTech Ponzi Scheme Promoters Convicted in New York, Facing 20 Years in Prison

Cryptowire: Promoters of IcomTech Found Guilty of Wire Fraud

David Brend and Gustavo Rogriguez, promoters of the fraudulent crypto mining and trading facility IcomTech, were found guilty of conspiracy to commit wire fraud by a New York jury on Friday, according to a press release from the United States Attorney’s Office for the Southern District of New York.

IcomTech Offered False Promises To Investors

Launched in 2018 by David Carmona, IcomTech falsely promised investors daily returns for investing in the company’s crypto-related services, including crypto mining and trading. The company did not invest victims’ funds as promised, but used them to pay off other victims and enrich themselves.

Rodriguez was hired to design IcomTech’s website while Brend and other promoters traveled throughout the United States and abroad, hosting events to lure victims to invest in the schemes.

U.S. Attorney Damian Williams stated, “IcomTech defrauded tens of thousands of people out of tens of millions of dollars, offering false promises of easy riches based on supposed cryptocurrency investments.”

Blocking Victims’ Access To Funds

The fraudsters flaunted luxury lifestyles at cryptocurrency events, encouraging victims to invest for financial freedom. Victims could initially monitor their funds online, but by August 2018, they lost access to their investments on the company’s website.

Despite complaints, IcomTech promoters continued to accept investments, leading to further financial losses for victims.

Facing a Maximum of Two Decades Behind Bars

In response to complaints, IcomTech introduced the “Icom” token, which turned out to be essentially worthless, causing more financial harm to victims.

Brend and Rodriguez are facing a maximum sentence of twenty years in prison, with their sentencing scheduled for June 27 and June 28, 2024.

U.S. Attorney Williams emphasized, “This verdict should send a clear message that this Office is committed to rooting out fraud in all its forms and holding those responsible to full account.”