Senior Promoter In Cryptocurrency Ponzi Scheme Sentenced To 240 Months In Prison

Press Release Senior Promoter In Cryptocurrency Ponzi Scheme Sentenced To 240 Months In Prison Wednesday, October 16, 2024 Share FacebookLinks to other government and non-government sites will typically appear with the “external link” icon to indicate that you are leaving the Department of Justice website when you click the link. XLinks to other government and non-government sites will typically appear with the “external link” icon to indicate that you are leaving the Department of Justice website when you click the link. LinkedInLinks to other government and non-government sites will typically appear with the “external link” icon to indicate that you are leaving the Department of Justice website when you click the link. Email For Immediate Release U.S. Attorney's Office, Southern District of New York Damian Williams, the United States Attorney for the Southern District of New York, announced that on October 15, 2024, JUAN TACURI, a senior promoter in the cryptocurrency Ponzi scheme known as Forcount (and later known as Weltsys) was sentenced to the statutory maximum of 240 months in prison by United States District Judge Analisa Torres. The Forcount scheme spanned the globe, ensnared thousands of victim-investors (“Victims”), and in the United States principally targeted Spanish-speaking populations. TACURI was one of the scheme’s most successful promoters and reaped millions of dollars from his participation in the fraud, which he spent on Florida real estate and luxury goods, among other things. Over 20 Victims appeared before the Court to give victim impact statements.U.S. Attorney Damian Williams said: “Juan Tacuri may have claimed to be involved in cutting- edge cryptocurrency investing, but, in reality, he was running one of the oldest tricks in the book: a Ponzi scheme. Tacuri was one of the most prolific promoters of the Forcount Ponzi scheme, taking in millions of dollars from working class victims. Instead of using victims’ funds as promised, he instead spent it on himself. Today’s sentence should serve as a stark reminder that, in the long run, fraud does not pay.”According to the Indictment, public filings, and statements made in court:Forcount was a purported cryptocurrency mining and trading company that promised to earn its victim-investors (“Victims”) profits in exchange for their purchase of purported cryptocurrency-related investment products. The founders and promoters of the scheme, such as TACURI, falsely promised their Victims, among other things, that profits from the company’s cryptocurrency trading and mining would result in guaranteed daily returns on Victims’ investments and the doubling of those investments within six months. In reality, Forcount was not engaging in cryptocurrency trading or mining, and the founder and promoters of the scheme were using Victim funds to pay other Victims, to further promote the schemes, and to enrich themselves.TACURI traveled throughout the United States where he and others hosted lavish expos and small community presentations aimed at luring Victims to invest in the schemes, including in the Southern District of New York. During larger-scale events, TACURI would present Forcount’s investment products and compensation plan, encourage Victims to invest as a means of achieving financial freedom, and boast about the amount of money he was earning, including by wearing designer clothing to such events. The atmosphere of these events was festive and designed to generate excitement about the schemes.Victims invested in the Forcount scheme by purchasing investment products from promoters, such as TACURI, using cash, checks, wire transfers, and actual cryptocurrency. Following a Victim’s investment, they would be provided with access to an online portal where they could monitor their purported returns. While Victims saw “profits” accumulate on the scheme’s online portal, most Victims were unable to withdraw any of these so-called profits and ultimately lost their entire investments. By contrast, Forcount’s promoters, like TACURI, siphoned off, in some cases, hundreds of thousands of dollars in Victim funds, which they withdrew as cash, spent on promotional expenses for the schemes, and used for personal expenditures such as luxury goods and real estate.At least as early as in or about April 2018, Victims who attempted to withdraw money from their online portal accounts had difficulty doing so and, when they complained to promoters, such as TACURI, they were met with excuses, delays, and hidden fees, if they were able to make any withdrawals at all. Despite these complaints, Forcount’s promoters, including TACURI, continued to promote the fraudulent scheme and accept Victims’ investments. As complaints mounted Forcount began offering proprietary crypto-tokens for sale as a means of injecting liquidity into the scheme. TACURI claimed that these tokens, known as “Mindexcoin,” would eventually be worth a significant amount of money when they were accepted by companies for payment for goods and services. This was false. In reality, they were essentially worthless and resulted in further financial loss to Victims. By in or about 2021, the scheme had stopped making payments to Victims and their chief promoters, including TACURI, stopped promoting the schemes, and, in some instances, stopped responding to Victims’ complaints altogether.* * *In addition to the prison term, TACURI, 46, of Greenacres, Florida, was sentenced to one year of supervised release and ordered to forfeit $3,610,718.67 and all right and title to a home in Florida that he purchased in part with Forcount Victim funds. TACURI was also ordered to pay at least $3,610,718.67 in restitution. Mr. Williams praised the outstanding investigative work of Homeland Security Investigations. Mr. Williams also thanked the New York City Police Department, the New York City Sheriff’s Office, the Bureau of Insurance Fraud, Property, and Casualty in the Division of Investigative and Forensic Services of the Florida Department of Financial Services, and the Florida Office of Financial Regulation for their assistance. Mr. Williams also thanked the Securities and Exchange Commission and the Brazilian Federal Police for their assistance.The case is being handled by the Office’s Illicit Finance and Money Laundering Unit. Assistant U.S. Attorneys Benjamin A. Gianforti and Michael D. Maimin are in charge of the prosecution.If you believe that you have been victimized by the Forcount/Weltsys Ponzi scheme, please send an email to [email protected]. Updated October 16, 2024 Component USAO - New York, Southern Press Release Number: 24-320

Press Release Senior Promoter In Cryptocurrency Ponzi Scheme Sentenced To 240 Months In Prison Wednesday, October 16, 2024 Share FacebookLinks to other government and non-government sites will typically appear with the “external link” icon to indicate that you are leaving the Department of Justice website when you click the link. XLinks to other government and non-government sites will typically appear with the “external link” icon to indicate that you are leaving the Department of Justice website when you click the link. LinkedInLinks to other government and non-government sites will typically appear with the “external link” icon to indicate that you are leaving the Department of Justice website when you click the link. Email For Immediate Release U.S. Attorney's Office, Southern District of New York Damian Williams, the United States Attorney for the Southern District of New York, announced that on October 15, 2024, JUAN TACURI, a senior promoter in the cryptocurrency Ponzi scheme known as Forcount (and later known as Weltsys) was sentenced to the statutory maximum of 240 months in prison by United States District Judge Analisa Torres. The Forcount scheme spanned the globe, ensnared thousands of victim-investors (“Victims”), and in the United States principally targeted Spanish-speaking populations. TACURI was one of the scheme’s most successful promoters and reaped millions of dollars from his participation in the fraud, which he spent on Florida real estate and luxury goods, among other things. Over 20 Victims appeared before the Court to give victim impact statements.U.S. Attorney Damian Williams said: “Juan Tacuri may have claimed to be involved in cutting- edge cryptocurrency investing, but, in reality, he was running one of the oldest tricks in the book: a Ponzi scheme. Tacuri was one of the most prolific promoters of the Forcount Ponzi scheme, taking in millions of dollars from working class victims. Instead of using victims’ funds as promised, he instead spent it on himself. Today’s sentence should serve as a stark reminder that, in the long run, fraud does not pay.”According to the Indictment, public filings, and statements made in court:Forcount was a purported cryptocurrency mining and trading company that promised to earn its victim-investors (“Victims”) profits in exchange for their purchase of purported cryptocurrency-related investment products. The founders and promoters of the scheme, such as TACURI, falsely promised their Victims, among other things, that profits from the company’s cryptocurrency trading and mining would result in guaranteed daily returns on Victims’ investments and the doubling of those investments within six months. In reality, Forcount was not engaging in cryptocurrency trading or mining, and the founder and promoters of the scheme were using Victim funds to pay other Victims, to further promote the schemes, and to enrich themselves.TACURI traveled throughout the United States where he and others hosted lavish expos and small community presentations aimed at luring Victims to invest in the schemes, including in the Southern District of New York. During larger-scale events, TACURI would present Forcount’s investment products and compensation plan, encourage Victims to invest as a means of achieving financial freedom, and boast about the amount of money he was earning, including by wearing designer clothing to such events. The atmosphere of these events was festive and designed to generate excitement about the schemes.Victims invested in the Forcount scheme by purchasing investment products from promoters, such as TACURI, using cash, checks, wire transfers, and actual cryptocurrency. Following a Victim’s investment, they would be provided with access to an online portal where they could monitor their purported returns. While Victims saw “profits” accumulate on the scheme’s online portal, most Victims were unable to withdraw any of these so-called profits and ultimately lost their entire investments. By contrast, Forcount’s promoters, like TACURI, siphoned off, in some cases, hundreds of thousands of dollars in Victim funds, which they withdrew as cash, spent on promotional expenses for the schemes, and used for personal expenditures such as luxury goods and real estate.At least as early as in or about April 2018, Victims who attempted to withdraw money from their online portal accounts had difficulty doing so and, when they complained to promoters, such as TACURI, they were met with excuses, delays, and hidden fees, if they were able to make any withdrawals at all. Despite these complaints, Forcount’s promoters, including TACURI, continued to promote the fraudulent scheme and accept Victims’ investments. As complaints mounted Forcount began offering proprietary crypto-tokens for sale as a means of injecting liquidity into the scheme. TACURI claimed that these tokens, known as “Mindexcoin,” would eventually be worth a significant amount of money when they were accepted by companies for payment for goods and services. This was false. In reality, they were essentially worthless and resulted in further financial loss to Victims. By in or about 2021, the scheme had stopped making payments to Victims and their chief promoters, including TACURI, stopped promoting the schemes, and, in some instances, stopped responding to Victims’ complaints altogether.* * *In addition to the prison term, TACURI, 46, of Greenacres, Florida, was sentenced to one year of supervised release and ordered to forfeit $3,610,718.67 and all right and title to a home in Florida that he purchased in part with Forcount Victim funds. TACURI was also ordered to pay at least $3,610,718.67 in restitution. Mr. Williams praised the outstanding investigative work of Homeland Security Investigations. Mr. Williams also thanked the New York City Police Department, the New York City Sheriff’s Office, the Bureau of Insurance Fraud, Property, and Casualty in the Division of Investigative and Forensic Services of the Florida Department of Financial Services, and the Florida Office of Financial Regulation for their assistance. Mr. Williams also thanked the Securities and Exchange Commission and the Brazilian Federal Police for their assistance.The case is being handled by the Office’s Illicit Finance and Money Laundering Unit. Assistant U.S. Attorneys Benjamin A. Gianforti and Michael D. Maimin are in charge of the prosecution.If you believe that you have been victimized by the Forcount/Weltsys Ponzi scheme, please send an email to [email protected]. Updated October 16, 2024 Component USAO - New York, Southern Press Release Number: 24-320