Two men charged in $650 million OmegaPro crypto fraud scheme

U.S. prosecutors have charged two individuals for orchestrating a global scheme that defrauded investors of $650 million by funneling funds into digital assets.

Michael Shannon Sims, 48, of Georgia and Florida, and Juan Carlos Reynoso, 57, of New Jersey and Florida, were indicted on Tuesday for conspiracy to commit wire fraud and conspiracy to commit money laundering, according to the U.S. Department of Justice.

Sims was a founder and promoter of OmegaPro, while Reynoso led the company’s operations in Latin America and the United States.

Each defendant faces up to 20 years in prison per count if convicted.

According to prosecutors, OmegaPro operated as a multi-level marketing scheme, promising investors up to 300% returns over 16 months through forex trading. Customers were instructed to purchase "investment packages" using cryptocurrency.

The accused and their associates allegedly flaunted wealth through luxury cars, vacations, and clothing, and organized extravagant global events, including projecting the OmegaPro logo on the Burj Khalifa in Dubai.

OmegaPro later claimed to have been hacked, but Reynoso and others reassured investors their funds were safe and would be transferred to another platform. In reality, investors could not withdraw their money, which was instead routed to crypto wallets controlled by company executives.

Authorities emphasized their commitment to dismantling international fraud schemes and recovering illicit proceeds.

Source: https://www.justice.gov/opa/pr/omegapro-founder-and-promoter-charged-running-global-650m-foreign-exchange-and-crypto