LAGOS, Nigeria (VOICE OF NAIJA)-The Kansas Attorney General’s Office has successfully prevented Bimbo Toyin Akinyemi, a Nigerian national, from defrauding a Kansas resident of cryptocurrency.
This was revealed in a statement titled, “State of Kansas, U.S., Thwarts Attempt by Nigerian Crypto Scammer to Defraud Resident, Attracting Over $50,000 in Civil Penalties.”
BitKE, which reports on Bitcoin, crypto, and blockchain activities in Africa, announced the news on Monday via its X handle #BitcoinKE.
According to the Attorney General’s Office, Akinyemi promised the victim a substantial return on a cryptocurrency investment. Court documents reveal that on July 15, 2023, Akinyemi and the unnamed victim entered into a contract wherein the victim was to buy Bitcoin and deposit it into Akinyemi’s ‘investment wallet address,’ expecting a return between $500 and $1,240.
Akinyemi took advantage of the victim’s limited understanding of cryptocurrencies by misleading them about the traceability of fund transfers and falsely claiming that depositing funds into a digital wallet would ‘activate’ it as an investment account. After receiving the deposits, Akinyemi transferred the funds to his own account.
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A fraudulent $1,000 check was sent to the victim but was never cashed.
The Kansas Attorney General’s Office has determined that the victim is entitled to a $250 refund on their investment.
Additionally, Akinyemi is liable for $50,000 in civil penalties for five violations, $4,000 in investigation fees and expenses, and all court costs.
The Attorney General’s Office’s Charities and Financial Scams Unit has filed a lawsuit against Akinyemi under the Kansas Consumer Protection Act.
Authorities seized Akinyemi’s wallet, which reportedly held half a Bitcoin valued at over $28,900, along with other digital currencies worth more than $4,000.
A local judge issued a default judgment against Akinyemi after they did not respond to the summons and petitions sent to their email address.
Besides the financial penalties, Akinyemi has been barred from participating in consumer transactions within the state.
“Cryptocurrency is a borderless asset that allows international scammers to target and defraud Kansans from the comfort of a keyboard,” said First Assistant Attorney General Nathanial Castillo.
“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.