McAfee Antivirus Founder Indicted for Fraud and Money Laundering Crimes
John David McAfee, the technology entrepreneur who set the McAfee Antivirus Software Company, was indicted on charges of fraud and money laundering from the Department of Justice. Along with his accomplice, he allegedly masterminded two strategies that utilized Twitter to exploit shareholders at the cryptocurrency marketplace.
The Initial was a”pump and dump” scheme by which McAfee, along with his accomplice Jimmy Gale Watson, a part of his own so-called cryptocurrency group, bought large amounts of cryptocurrency for an affordable cost and utilized their social media influence to inspire other people to invest in that cryptocurrency, efficiently artificially inflating its economical cost. McAfee and his staff afterward marketed, or”dropped,” that the cryptocurrency to make a massive profit. The strategy earned McAfee greater than $2 million in illegal profits, according to the DOJ.
In their next plot, McAfee and Watson utilized their Twitter sway To promote fundraising events known as first coin offerings (ICO), where startups issue cryptocurrency to investors while hiding the fact that the startups were compensating McAfee for its promotional tweets with cash earned in your ICO investors. This violates the Securities and Exchange Commission’s federal securities legislation, which demanded McAfee disclose he was being compensated from the ICO exemptions to market the events.
McAfee and Watson Are charged with numerous conspiracy counts to commit fraud and one count of conspiracy to commit money laundering. If convicted of all charges, the set could face over a hundred years in prison, along with monetary penalties.
McAfee is now arrested in Spain On different criminal charges filed by the DOJ’s Tax Division. The SEC and Commodities Futures Trading Commission also has filed criminal charges from McAfee. Watson was arrested in Texas on the night of March 4.
The current indictment is Only McAfee’s most up-to-date run-in with the law. In 2012 he disappeared after visiting police in Belize who sought to question him concerning his neighbor’s death. He’s best known as the McAfee Antivirus Software Company; however, he’s no longer connected with the security company.