BOSTON, MA – A federal court in Massachusetts has issued a final default judgment against Mark Gillespie of Michigan, John Roche of California, and Nevada-based companies My Big Coin Pay, Inc., and My Big Coin, Inc., for their involvement in a multi-million dollar digital asset fraud scheme. The judgment, entered by the U.S. District Court for the District of Massachusetts, orders the defendants to collectively pay $19,326,324 in civil penalties and $6,442,108 in restitution to victims.
The CFTC’s investigation revealed that from January 2014 to June 2017, Gillespie, Roche, and the two companies, along with co-defendant Randall Crater, fraudulently marketed My Big Coin (MBC) as a fully-functioning virtual currency. They allegedly made false and misleading claims about MBC’s value, usability, and trading status, falsely asserting it was backed by gold. The scheme defrauded at least 28 customers out of over $6 million.
The court found that Crater misappropriated the majority of funds obtained from customers. He is currently serving a 100-month prison sentence after being convicted on charges of wire fraud, unlawful monetary transactions, and operating an unlicensed money transmitting business. He was also ordered to pay over $7.6 million in restitution and forfeit the same amount.
The CFTC has permanently banned Gillespie, Roche, My Big Coin Pay, Inc., and My Big Coin, Inc. from trading in any CFTC-regulated markets, engaging in commodity or digital asset transactions, and registering with the CFTC. The agency dismissed charges against co-defendant Michael Kruger due to his death.
The CFTC cautions that victims may not fully recover their losses, as the defendants may lack sufficient assets. However, the agency vows to continue pursuing accountability and protecting customers from fraudulent schemes. The case was pursued in conjunction with the U.S. Attorney’s Office for the District of Massachusetts, the Department of Justice’s Fraud Section, and the FBI.
Source: CFTC.gov
Related Federal Cases
- Letitia James Secures Preliminary Injunction Against Trump Administ… · New Mexico
- Letitia James, Revocation of Temporary Protected Status, New York, … · California
- Letitia James, Dismantling AmeriCorps Funding, New York NY, 2023 · New Mexico
- Letitia James Demands ICE Identity Disclosure, New York, 2023 · New Mexico
- Letitia James, Protected Democracy from Federal Election Seizure, N… · New Mexico
MORE FEDERAL CRIME NEWS
US NewsUS NewsUS NewsUS News