Recently, the United States Attorney for the Southern District of New York announced that it charged a broker company executive. As the attorney stated, Crypto Capital Investments Exec, Oz Yosef, committed three criminal counts.
On October 23, the NY court confirmed that U.S. authorities caught Oz Yosef on conspiracy to commit bank fraud. He was charged with, bank fraud and conspiracy to operate an unlicensed money transfer services and business.
Crypto Capital is a fiat-banking platform that allows its clients to exchange and deposit fiat funds to any digital crypto. Also, it offers users an opportunity to sell and buy digital currencies like Bitcoin, Ethreum, Tron, Ripple, etc.
Crypto Capital’s alleged victim – Bitfinex
For quite some time, Crypto Capital was cooperating with Bitfinex. It used to handle and process the entire fund on behalf of the crypto exchange company. Now the trade operators of Bitfinex claim that they are victims of a fraud of their payment processor Crypto Capital.
Moreover, the court filling confirmed the allegations. On April 25, the New York Attorney General’s office stated that Bitfinex lost $850 million. Furthermore, to cover the loss, the company had to use funds from its affiliated stable coin operator Tether.
Also, Bitfinex claimed that Crypto Capital spread the firm’s funds across multiple bank accounts in several countries. It was an attempt to cover up funds and make it difficult to access. As the accuser explained, the Panama-based payments processor processed funds for Bitfinex for years. Thus, the crypto exchange company trusted Crypto Capital. In addition, it was relying on the honesty of their partnership.
Moreover, in the end, Oz Yosef and his company were misrepresenting their true intentions. Besides, Crypto Capital regularly referred to its banking expertise, work ethics, and integrity. Unfortunately, this was designed to assure Bitfinex that Crypto Capital was capable of handling their transactions. Crypto Capital lied to the company.
The men behind Crypto Capital now face charges
Polish authorities recently arrested Ivan Manuel Molina Lee, the president of Crypto Capital. The prosecutor’s office in Wrocław issued a European Arrest Warrant for Lee’s detention. Meanwhile, the Southern District of New York accused Oz Yosef on three criminal counts.