US Jails Man For 5 Years Over $20m Crypto Fraud
An Indian national has been sentenced to five years in prison after being convicted of stealing more than $20 million in a crypto fraud scheme involving fake crypto websites.
U.S. District Judge Kenneth D. Bell sentenced Chirag Tomar, a 31-year-old Indian citizen, to 60 months in prison, the U.S. Justice Department announced. Tomar will also serve two years of supervised release following his sentence.
His sentencing is the latest conviction in a series of similar fraud schemes.
According to Dena J. King, U.S. Attorney for the Western District of North Carolina, Tomar stole over $20 million from hundreds of people by duping them into using fake or “spoofed” websites. The scheme dates back to June 2021.
The prosecution stated that Tomar and co-conspirators targeted victims across the world and in the United States, by spoofing U.S.-based crypto exchange Coinbase.
Spoofing is a cybercrime where a malicious actor uses disguise to convince victims into thinking they are using an official or trusted – when in fact it’s a fake one. In this case, Tomar and others used a fake URL of Coinbase’s crypto exchange site “Pro.Coinbase.Com”. They used the URL CoinbasePro.Com, complete with a fraudulent website that unsuspecting victims unknowingly allowed the cyber criminals to access their authentication details on Coinbase.
Using remote desktop software, the fraudsters stole from victims, with some cases involving impersonation of Coinbase customer support staff.
Court documents reveal that a North Carolina crypto user lost more than $240,000 in February 2022.
Tomar, who used the stolen funds to buy luxury vehicles and finance lavish trips to Dubai and other locations, was arrested in December 2023. He pleaded guilty to charges including wire fraud conspiracy in May 2024.
Earlier this week, a court in the U.S. sentenced a 46-year old man to 20 years in prison over crypto fraud.
Meanwhile, a German man facing a $150 million crypto fraud case in New York is on the run after skipping a hearing.
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