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Centra Tech’s Operator Sentenced a Year in Prison for ICO Fraud

Robert Farkas has been arrested and charged with the lightest sentenced felony for his part in Centra Tech’s 2017 ICO. The operator of Centra Tech, fraudulent crypto investment, Robert Farkas, has been sentenced to one year and one day in prison by Manhattan court.

Robert Farkas has successfully taken $25 million in the coin offering boom. A famous boxer, Floyd Mayweather, and DJ Khaled, a famous musician were included in the scheme. They were both asked to promote the ICO. Now both, the musician and the boxer are in trouble with the law. They failed to disclose that the promotion was paid.

Other than the promotion by celebrities, Farkas’s scheme involved the lies about Centra Tech’s license. It is not registered as a money service business in 38 states as it claimed to be. They were not partners with Visa and Mastercard either while they claim to be. The nature of the crime is brazen but the sentence given to Farkas is lighter than expected. Sohrab Sharma and Raymond Trapani, the Co-founders have also pleaded guilty

Know Your Transaction (KYT) is done to verify the transactions and monitor the transactions. Some of the important transactions include card transactions, cross border, crypto, inward and outward remittances, cross border transactions. Any banks or financial institutions must know the details related to transactions so they can verify where the transactions are being made and hence stop the fraudulent activity.

Learn more: https://shuftipro.com/blog/know-your-transactions-kyt-another-way-of-fraud-detection