Jack Allan Abramoff, an American lobbyist, businessman, writer, and movie producer has recently pleaded guilty to criminal charges alleging that he illicitly promoted a fraudulent cryptocurrency investment opportunity.
According to the report on Wednesday, Abramoff admitted to the charges that he misled many unsuspecting investors into making investments in the illegal cryptocurrency, AML BitCoin.
AML BitCoin is a crypto fraud scheme organized by the Nevada-based NAC Foundation and its founder, Rowland Marcus Andrade, that recently came under the watchful regulatory eyes of the US SEC for conducting an unregistered public offering for a token that they had claimed would be a better version of Bitcoin.
The founders of the scheme, along with Abramoff, had lied to investors that they are in talks with several regulatory bodies on how the token is to be used. They also claimed that the token has several attractive features that make it an even better option than Bitcoin such as anti-money laundering, anti-theft, and anti-terrorism.
All these were in a bid to dupe investors into making investments and they succeeded in accumulating more than $5 million from thousands of investors via the sale of these tokens. The founders of the platform are currently facing legal suits.
Abramoff reportedly did not make a court appearance, instead, he made his plea on Tuesday via a telephone conference call with a U.S. District Judge, Richard Seeborg, in San Francisco and his lawyer, Abbe Lowell, mainly because of the ongoing pandemic.
During the call, the judge asked Abramoff how he would plead to the charges filed against him which included charges of conspiracy and violating the Lobbying Disclosure Act. He had replied with a simple “Guilty, your honor.” He risks facing a jail term of up to five years for each count.
Earlier in 2006, Abramoff had also been at the center of an extensive lobbying crime that had led to his conviction along with several others involved in the case.
In similar reports, a 52-year-old Singaporean man had been convicted for promoting the popular cryptocurrency Ponzi scheme, OneCoin. He is faced with a five-year jail term or a fine of $143,000.