Sohrab Sharma behind Centra Tech ICO scam to face prison following the conviction of Robert Farkas in June
According to a July 13 report from Bloomberg, Sohrab Sharma, one of the co-founders of cryptocurrency firm Centra Tech, faces charges of $ 25 million in fraud. However, it seems that the allegation is entirely accurate, so Sharma is planning to plead guilty
Sohrab Sharma, one of the co-founders of cryptocurrency firm Centra Tech
Sohrab Sharma and colleagues Robert Farkas have had a history of past crimes
Looking ahead, the court is likely to open and avoid the trial date in November because his lawyers said he would be interested in changing his plea.
The announcement came after Robert Farkas, Sharma’s associate, was convicted of conspiracy to commit fraud on securities and wire on June 16. Farkas faces up to 87 months in prison and a fine of $ 250,000.
The U.S. Department of Justice (DOJ) stated that Sharma, Farkas, and Raymond Trapani were arrested in April 2018.
The three lied to investors about having a fictional CEO at Centra Tech, Michael Edwards, as well as having money transfer licenses in 38 states. The company made a false statement about partnerships with major companies, including Visa.
Charges from DOJ claim that the trio’s goal from these lies is to deceive people into investing in Centra Tech’s ICO of Centra tokens (CTR).
When the ICO was held from July to October 2017, it was backed by celebrities, including former boxer Floyd Mayweather and music producer DJ Khaled.
Both of them were subsequently charged by the U.S. Securities and Exchange Commission (SEC) for illegally advertising ICOs and failing to disclose the payments they received from Centra Tech to their followers. The case involving the third co-founder of this business, Trapani, is still scheduled for trial in November.
It is clear that the number of people involved in scam projects is increasing recently. Recently, as AZCoin News reported, the bodies of two OneCoin promoters – Oscar Brito Ibarra and Ignacio Ibarra (they are not brothers) – were found in Mazatlan, Sinaloa, in a suitcase.
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