UK police have concluded a cryptocurrency scam in London in which three men impersonated law enforcement officers, tricking eight victims into surrendering their crypto assets worth approximately £4 million. Authorities say some of the assets have been recovered, but the investigation is ongoing.
Forging identities to induce fund transfers
The suspect first calls the victim, posing as a police officer and claiming that their crypto assets are at risk. They then trick the victim into providing account information or transferring funds to a so-called “secure account.” Police say that related websites have also been meticulously forged to enhance the credibility of the scam.
The illicit funds were used for luxury spending.
The Southwark Crown Court in London sentenced Anthony Ikenwe and Kevin Nwamma each to six years in prison. Hamza Bashir was sentenced to three years and nine months. Police stated that the stolen funds were used to purchase luxury cars, Rolexes, and extravagant travel, and were funneled into cash storage in Dubai, prepaid cards, and multiple bank accounts.
The police are still investigating the assets.
The Metropolitan Police stated that approximately £1 million in assets has been recovered, including cryptocurrencies, luxury goods, and 40 mobile phones. Police are continuing to work with UK and international partners to track down other individuals involved and trace the flow of funds.