DoJ starts PI on cryptocurrency scam
The Department of Justice has started the preliminary investigation against people who fraudulently amassed P900 million by luring investors to pour money in the scam involving cryptocurrency.
During the preliminary investigation, 10 respondents submitted their counter-affidavits before Assistant State Prosecutor Charlie Guhit.
But primary respondents Arnel and Leonady Ordonio failed to appear during the preliminary investigation.
Aside from the Ordonio couple, there are 34 other respondents identified by 28 complainants.They are facing a complaint for syndicated estafa.
The authorities arrested the couple in an entrapment operation last April 4 in Ilocos Sur.
Reports said that the couple, through their company NewG Bitcoin, allegedly lured around 50 people to invest in bitcoin.
Under the scheme, the investors were promised a 30-percent return of investments with payouts every 15 days. It is similar to a pyramiding scheme where there was an upline or the one who asks people to invest, and a downline, the one who invests. Investors had the option to invest P90,000 and P160,000 per slot.
The DOJ prosecutor set the next preliminary investigation on May 24.