A Nigerian national, Bimbo Toyin Akinyemi, has been found guilty of attempting to defraud a Kansas resident of cryptocurrency, resulting in civil penalties of over $50,000.
According to a statement by the Kansas Attorney General’s Office, Akinyemi promised the victim a large return for investing in cryptocurrency, but instead exploited their lack of understanding of cryptocurrencies to swindle them out of $250.
Court documents revealed that Akinyemi entered into a contract with the unnamed victim on July 15, 2023, where the victim was to purchase Bitcoin and deposit it into Akinyemi’s ‘investment wallet address,’ with an expected return of $500 to $1,240. However, Akinyemi transferred the funds to his own account and sent a fraudulent $1,000 cheque to the victim, which was never cashed.
The Kansas Attorney General’s Office stated that the victim is entitled to a refund of their $250 investment, and Akinyemi is responsible for $50,000 in civil penalties for five violations, $4,000 in investigation fees and expenses, and all court costs. Authorities also seized Akinyemi’s wallet, which contained half of a Bitcoin valued at over $28,900, as well as other digital currency worth more than $4,000.
A local judge issued a default judgment against Akinyemi after they failed to respond to the summons and petitions sent to their email address. In addition to the financial penalties, Akinyemi has been prohibited from engaging in consumer transactions within the state.
Commenting on the case, First Assistant Attorney General Nathanial Castillo warned Kansans to be cautious when dealing with online transactions. “Cryptocurrency is a borderless asset that allows international scammers to target and defraud Kansans from the comfort of a keyboard,” he said. “Scammers realise they have a better chance of getting away with fraud if they convince victims to send cryptocurrency. Kansans should always thoroughly scrutinise anyone they meet online before sending payment in cryptocurrency.”
The U.S. Department of Justice (DoJ) and the FBI were also part of the investigations, highlighting the collaborative efforts of law enforcement agencies to combat cryptocurrency scams. The case serves as a reminder for individuals to exercise caution when investing in cryptocurrencies and to be aware of the risks of online scams.
