Posted: Updated – 10:31 AM, Sat – 11/19/22
Representative Image According to court documents, Giri (27) of New Albany allegedly misled investors by falsely promoting himself as a cryptocurrency trading expert specializing in trading bitcoin derivatives.
Washington: U.S. federal law enforcement authorities arrested Indian-American Rathanakishore Giri in Ohio on Friday for his alleged involvement in a cryptocurrency investment fraud scheme that raised at least $10 million from investors.
Giri, 27, of New Albany, allegedly misled investors by falsely promoting himself as an expert cryptocurrency trader specializing in bitcoin derivatives, according to court documents.
Federal prosecutors allege that, as the indictment alleges, defendant falsely promised investors that he would generate substantial returns without risking their principal investment amounts, which he guaranteed would be returned.
In fact, prosecutors said, Giri was often accused of using funds provided by new investors to pay off old investors — a hallmark of a Ponzi scheme.
In addition, Giri allegedly had a track record of investment failures, including losing investors’ principal investments over time and misleading investors about the reasons for delays when investors sought to cash out their investments or otherwise obtain “guaranteed” returns, according to court documents, according to the court filing.
The indictment charged Giri with five counts of wire fraud. If convicted, he faces up to 20 years in prison on each count. According to a media release, a federal district court judge will decide on any sentencing after considering U.S. sentencing guidelines and other statutory factors.
