Asset Manager Lost Investor Funds at a Casino
A resident of New York, Douglas Jae Woo Kim, has tricked out three investors. He fraudulently took $4.5 million and spent it on gambling.
The accused took a large amount of money from three people and promised that he would invest them in low-risk operations with cryptocurrencies, and instead, wasted them in the casino. The information appeared on the official website of the New York State Attorney's Office.
The fraud's legend
Based on the complaint and the testimony of the victim, given under oath, the accused introduced himself as a crypto-trader. He asked his acquaintances and friends for funds to scale up his low-risk operations. He also stated that he was already operating with an amount of $300 - $400 thousand.
He promised his investors high-interest rates, but to date has paid only one of them.
Crime and Punishment
His scheme ran from October 2017 to May 2020. In total, he raised over $4.5 million. Instead of the promised cryptocurrency trading, he gambled at casinos. A criminal case was opened on the fact of the crime, under article fraud with electronic currencies.