The thriller of OneCoin co-founder Sebastian Greenwood’s post-extradition disappearance is over.
On April sixth Greenwood’s 2018 indictment was unsealed, giving us all of the juicy particulars.
A couple of 12 months and a half in the past, we caught wind of Greenwood’s arrest in Thailand.
Thai authorities let slip Greenwood (proper) had been extradited to the US, which I consider was data not meant to be made public.
For the reason that November 2018 extradition there was no data in anyway as to Greenwood’s standing.
As per the unsealed submitting, Greenwood was indicted as “Karl Sebastian Greenwood” by a grand jury on February sixth, 2018.
For these holding observe, that is 5 months after Ruja Ignatova’s indictment.
Greenwood indictment particulars 5 counts of fraud:
- conspiracy to commit wire fraud;
- wire fraud;
- conspiracy to commit cash laundering;
- conspiracy to commit securities fraud; and
- securities fraud.
It was an element and an object of the conspiracy that KARL SEBASTIAN GREENWOOD, the defendant, and others identified and unknown, willfully and knowingly, having devised and intending to plan a scheme and artifice to defraud and for acquiring cash and property by way of false and fraudulent pretenses.
GREENWOOD, and others engaged on his behalf, made and induced to be made false statements and misrepresentations soliciting people all through the world, together with within the Southern District of New York, to put money into “OneCoin,” a purported cryptocurrency, and thereby induced people in the US and elsewhere to buy OneCoin packages, and ensuing within the receipt of over $1 billion of investor funds into OneCoin-related financial institution accounts.
The DOJ are looking for forfeiture of any proceeds Greenwood obtained by means of OneCoin.
Within the “Overt Acts” part of the indictment, two unnamed co-conspirators are referenced.
On or about July 1, 2015, GREENWOOD despatched an electronic mail to a co-conspirator not named herein (“CC-1”), stating partly, “I assumed this might exit tonight, downside is I don’t have the entry to ship out to the members,” and attaching a doc which introduced a July 4, 2015 on-line webinar hosted by CC-1 and others to mark the official opening of the US marketplace for OneCoin.
On or about July 4, 2015, CC-1 participated in an internet webinar, later posted to YouTube.com, by which CC-1 introduced the official opening of the US marketplace for OneCoin.
On or about August 18, 2015, with a view to buy a OneCoin bundle, on the course of a second co-conspirator not named herein (“CC-2”), a sufferer residing in the US wired roughly $5,548 by means of a correspondent financial institution positioned in New York, New York, to profit a checking account held within the title of “oneCoin Ltd.,” opened on the course of CC-1 at Mashreq Financial institution in Dubai, United Arab Emirates.
Digging into our archives, on July seventh 2015 BehindMLM reported on OneCoin’s US launch flop.
The July 4th on-line webinar featured Ruja Ignatova, who I consider is the unnamed “CC-1”.
As for “CC-2”, that’s large open.
CC-2 must be somebody selling OneCoin within the US in 2015, who was additionally excessive profile sufficient to be named a co-conspirator.
OneCoin’s try and launch within the US was headed up by Maurice Katz and Sal Leto.
In September 2015, Leto (proper) hosted a webinar by which he acknowledged;
(OneCoin) has acquired 100 and eighty banking licenses, to legally personal their very own banks, their very own department and their very own workplace, inside all 100 and eighty international locations that we function in.
A type of international locations is the US of America, proper?
Proper now (OneCoin) goes by means of the Securities and Trade Fee approval course of, of getting their banking license inside the US accepted.
That was in fact baloney, however positions Leto as a robust candidate for CC-2.
Up to now US authorities have taken no overt motion in opposition to Leto, who continues to defraud most people.
Leto’s not too long ago launched Auvoria Prime, a securities fraud funding scheme.
Maurice Katz is a CC-2 risk, nonetheless I consider Leto was primarily liaising with OneCoin company.
I’ve dominated out any of OneCoin’s arrested cash launderers, as none of them have been selling OneCoin as associates. If anybody has another suspects, tell us within the feedback beneath.
Presumably since his extradition in November 2018, Greenwood has been held at New York MCC beneath “Karl Greenwood”.
Trying ahead in Greenwood’s case, a pretrial convention was scheduled for April third.
On April 1st the DOJ requested an adjournment, owing to them offering “extra discovery supplies to” Greenwood.
Counsel for the (Greenwood) … has indicated that the defendant requires extra time to assessment these supplies and to interact in any acceptable discussions with the Authorities concerning a possible decision of this matter.
On April sixth Greenwood’s pretrial convention was rescheduled for June third.
Individually, on April sixth the DOJ requested Konstantin Ignatov’s April eighth sentencing listening to be rescheduled.
As a result of the defendant’s cooperation isn’t but full, the Authorities respectfully requests that the sentencing date be adjourned for about three months.
It’s extremely possible a part of Konstantin’s undisclosed plea settlement has him offering the DOJ with proof in opposition to Greenwood.
That is probably related to the “extra discovery supplies” offered to Greenwood.
It would additionally probably see Konstantin testify at Greenwood’s trial, ought to it come to that.
With the quantity of proof the DOJ has on Greenwood, and the help they’ve wrangled from OneCoin insiders, I actually can’t see him going to trial.
It’ll be a repeat of the Mark Scott verdict, in the end leading to a harsher penalty than if Greenwood cooperates.
At this stage I don’t assume the DOJ sees it occurring both, therefore the three month extension on Konstantin’s sentencing (it’s assumed Konstantin’s sentencing will see him enter witness safety, after which he wouldn’t be capable of testify at Greenwood’s trial).
Greenwood’s cooperation will probably contain spilling the beans on Ruja Ignatova. That stated, I believe the DOJ already is aware of the place she is (a rustic with no US extradition settlement or that received’t extradite).
Greenwood may additionally be capable of present precious intel on different but to be apprehended OneCoin insiders. Frank Schneider and Frank Ricketts come to thoughts.
And naturally whether or not the DOJ’s case trickles all the way down to OneCoin’s notable promoters (Juha Parhiala, Igor Alberts, Kari Wahlroos, Sal Leto, Simon Le, Habib Zahid, the Steinkeller brothers, Jose Gordo, Muhammad Zafar and so forth.), stays to be seen. Irina Dilkinska is probably going additionally an individual of curiosity.
Keep tuned for updates as we proceed to trace the DOJ’s OneCoin case.
Replace twentieth June 2020 – Sebastian’s pre-trial convention has been rescheduled from June twenty fourth to August fifth.
Replace eighth August 2020 – As per a telephonic pre-trial convention held on August fifth, the convention has been adjourned to October fifth.
Replace sixth October 2020 – As per a movement filed by Greenwood on September twenty eighth, the standing convention has once more been adjourned to December 18th, 2020.