It has been reported that the Chinese Judges have started taking action against the individuals who were charged for a crypto-scam. Sources suggest that these individuals were the masterminds behind the PlusToken crypto scam. PlusToken was a Ponzi scheme that ended up scamming around 2 million investors.
The Chinese news outlet, Xinhuanet that covers China-based prosecution services provided some more information around this matter. Xinhuanet confirmed that the Chinese judges have passed their judgment on 16 individuals who were a part of the PlusToken scam.
These individuals had varying seniority in the hierarchy tree of PlusToken scam and all were handled with fixed-term jail terms. From the PlusToken scam, the most senior orchestrator has been charged to serve 11 years in jail. However, the rest of the individuals were set to serve lesser years behind bars.
For legal reasons, the Chinese lawmakers have hidden the full names of the individuals. In the court hearing, the judges heard how the PlusToken leaders lured the investors and collected around $7.3 billion worth of crypto-assets. It was revealed that the tokens that these scammers managed to acquire were mainly Ethereum (ETH) and Bitcoin (BTC).
In the court, the prosecutors alleged three individuals for acquiring funds from the investors through the PlusToken Ponzi Schemes. These individuals would then use the falsely acquired funds to pay their bills or send them on random stuff. The prosecutors only revealed the surnames of these three individuals to the media as Chen, Peng, and Ding.
The prosecutors also added that these individuals were highly skilled in their own fields of expertise. They explained how these individuals used their individual skills to create a highly convincing and powerful scheme.
The prosecutors further explained the skills of all three individuals to make the case stronger against these scammers. For Chen, the prosecutors stated that he used the image of his own company, making PlusToken look like a multinational company.
The second individual was Peng who used his multi-level marketing skills to convince people that the product was legit and the benefits were realistic. For Ding (the third individual), the prosecutors told the court that he was the one responsible for giving it a look on the blockchain platform with his skills.