Ekokrim has indicted four Norwegians for extensive fraud and money laundering involving crypto and stocks. Thousands of people abroad have paid more than NOK 900 million in the fraud. More than NOK 700 million was then laundered.
- We believe this is a large and extensive fraud. “We are talking about very many offenders in many countries who have lost their money, and significant sums of money that have ended up with the defendants,” says Joakim Ziesler Berge, District Attorney in Ekokrim.
The offenders have been members of a network, in which the product promotion has occurred through a multi-level marketing structure. This has been done through presentations at major events in several different locations around the world, and through existing members recruiting new paying members from among friends and acquaintances.
Thousands of people abroad have paid more than NOK 900 million in the fraud. The laundering of the 700 million kronor is alleged to have taken place through the accounts of a Norwegian law firm, and further to accounts belonging to several different companies in Asia.
According to the indictment, the members were deceived into believing that, by purchasing various “product packages” consisting, among other things, of the company's own cryptocurrencies and shares, they were receiving a share in the investments and profits of an extensive and highly profitable business enterprise. This commercial activity was to have, among other things, made large investments in a gas field, mining operations and real estate.
Ekokrim considers to be able to prove that in reality no significant investments were made, and that the business also did not have earnings beyond the members' own deposits. The money that came in was laundered through complicated structures, before eventually ending up with top networkers, backers and existing members as “returns.”
According to the indictment, NOK 700 million was laundered through client accounts in a Norwegian law firm, and on to company accounts in countries in Asia. The use of client accounts and company structures in Norway and internationally has complicated the work of uncovering what has happened to the money.
“The case shows that organised crime in the form of fraud and money laundering across borders will be investigated and prosecuted, even if the victims of the crime are located in countries other than Norway,” Berge says.
Investment fraud is a growing problem in Norway and internationally. It is also a growing problem that facilitators such as lawyers and accountants, and crime as a commodity, are being used to cover up crime. Money laundering, corruption and criminal finance are referred to by Europol as the engine of crime.
Ekokrim has indicted four Norwegians for extensive fraud and money laundering involving crypto and stocks. Thousands of people abroad have paid more than NOK 900 million in the fraud. More than NOK 700 million was then laundered.
- We believe this is a large and extensive fraud. “We are talking about very many offenders in many countries who have lost their money, and significant sums of money that have ended up with the defendants,” says Joakim Ziesler Berge, District Attorney in Ekokrim.
The offenders have been members of a network, in which the product promotion has occurred through a multi-level marketing structure. This has been done through presentations at major events in several different locations around the world, and through existing members recruiting new paying members from among friends and acquaintances.
Thousands of people abroad have paid more than NOK 900 million in the fraud. The laundering of the 700 million kronor is alleged to have taken place through the accounts of a Norwegian law firm, and further to accounts belonging to several different companies in Asia.
According to the indictment, the members were deceived into believing that, by purchasing various “product packages” consisting, among other things, of the company's own cryptocurrencies and shares, they were receiving a share in the investments and profits of an extensive and highly profitable business enterprise. This commercial activity was to have, among other things, made large investments in a gas field, mining operations and real estate.
Ekokrim considers to be able to prove that in reality no significant investments were made, and that the business also did not have earnings beyond the members' own deposits. The money that came in was laundered through complicated structures, before eventually ending up with top networkers, backers and existing members as “returns.”
According to the indictment, NOK 700 million was laundered through client accounts in a Norwegian law firm, and on to company accounts in countries in Asia. The use of client accounts and company structures in Norway and internationally has complicated the work of uncovering what has happened to the money.
“The case shows that organised crime in the form of fraud and money laundering across borders will be investigated and prosecuted, even if the victims of the crime are located in countries other than Norway,” Berge says.
Investment fraud is a growing problem in Norway and internationally. It is also a growing problem that facilitators such as lawyers and accountants, and crime as a commodity, are being used to cover up crime. Money laundering, corruption and criminal finance are referred to by Europol as the engine of crime.
