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Sydney lawyer is charged over an alleged cryptocurrency scam which saw four men lose $2.3MILLION

Sydney lawyer is charged over a an alleged cryptocurrency scam which saw four men lose $2.3MILLION – as it’s linked to a murky syndicate operating out of Israel and Eastern Europe

  • Solicitor charged over alleged $2.3million cryptocurrency scam online
  • Four men allegedly defrauded after responding to online advertisements
  • They then sent millions to an unknown men to invest in the cryptocurrencies
  • Police claim the Australian account is linked to a Sydney-based solicitor  

An alleged cryptocurrency scam operating out of the Middle East has seen four Australians lose more than $2.3million, as a Sydney lawyer is charged.  

The alleged victims told police they have been defrauded by a suspected cybercurrency scam back in 2019.

They had responded to an online advert and then spoke to an unknown person to deposit money to trade in cybercurrencies.   

Between December 2018 and March 2019, the four men – who were then aged between 69 and 95 – deposited a total of $2,311,000 into various Australian bank accounts.

Inquiries revealed the Australian accounts, which had subsequently been closed by the bank due to suspicious transactions, were all linked to a Sydney-based solicitor.

They had responded to an online advert and then spoke to an unknown person to deposit money to trade in cybercurrencies (stock image, it is not known if the scam involved Bitcoin)

Following extensive investigations, Sydney City detectives arrested a 38-year-old man at Day Street Police Station just after 5pm on Wednesday.

The Turramurra man was charged with four counts of recklessly deal with proceeds of crime.

Police will allege in court the man was a paid a total of $173,000 to facilitate the transfer of the victims’ money, which was deposited into his accounts, to an international syndicate believed to be operating out of Israel and Eastern Europe.

He has been refused bail to appear at Central Local Court on Thursday. 

WHAT IS CRYPTOCURRENCY? 

Cryptocurrency is a form of payment that can be exchanged online for goods and services. 

Many companies have issued their own currencies, often called tokens, and these can be traded specifically for the good or service that the company provides. 

Think of them as you would arcade tokens or casino chips. You’ll need to exchange real currency for the cryptocurrency to access the good or service.

Cryptocurrencies work using a technology called blockchain. 

Blockchain is a decentralized technology spread across many computers that manages and records transactions. Part of the appeal of this technology is its security.

Source: NerdWallet 

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