US Department of Justice indicts BitConnect founder

The U.S. Justice Department announced Friday that a federal grand jury has charged BitConnect founder Satish Kumbhani with defrauding investors of about $2.4 billion through his loan scheme.

Kumbhani was charged with conspiracy to commit wire fraud, wire fraud, conspiracy to commit price manipulation, operating an unlicensed money transfer agency and conspiracy to launder money internationally to "mastermind a global Ponzi scheme," allegedly trading cryptocurrencies for his Investors' money, and money from later investors repays early investors.

U.S. Assistant Attorney General Kenneth Polite Jr. said in a statement that cryptocurrencies continue to be used for international crimes. The department is committed to protecting victims, maintaining market integrity, and strengthening its global partnerships to hold criminals who engage in cryptocurrency fraud accountable.

We appreciate the continued efforts of our partners around the world.