A top executive of the fraudulent cryptocurrency scheme OneCoin will spend years behind bars for her role in the multi-level marketing (MLM) scam that swindled billions from victims worldwide.
OneCoin, which was co-founded by the so-called crypto queen Ruja Ignatova and Karl Sebastian Greenwood in 2014, promised to pay commission to members who recruited people to purchase fraudulent cryptocurrency packages.
OneCoin’s promotional materials claim that over three million people invested in the cryptocurrency packages, allowing the company to generate $4.38 billion in sales revenue and earn $2.96 billion in profits between 2014 and 2016.
In a statement released on Wednesday, the Justice Department says that U.S. District Judge Edgardo Ramos sentenced OneCoin head of legal and compliance Irina Dilkinska to four years in prison.
In November, Dilkinska pleaded guilty to one count of conspiracy to commit wire fraud and one count of conspiracy to commit money laundering arising from her involvement with OneCoin.
The prosecution says that instead of ensuring that OneCoin complies with the law, the 42-year-old helped the company launder money, including $110 million in fraudulent proceeds that were transferred to a Cayman Island entity.
Says U.S. Attorney Damian Williams,
“Irina Dilkinska’s involvement in the sprawling OneCoin pyramid scheme was a flagrant breach of conduct. Rather than upholding the law and embracing her position as the Head of Legal and Compliance, she facilitated and committed money laundering, aiding in the exploitation of millions of victims. As Dilkinska learned today, this Office will hold accountable every perpetrator of the OneCoin scheme, no matter where they may hide.”
Aside from the four-year prison term, the Bulgarian national is ordered to forfeit $111,440,000. She will also be subject to one month of supervised release.
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