UAE crypto scammer sentenced to eight years in jail for multimillion-dollar fraud scheme

Residential skyscraper structures past luxurious villas at the waterfront of the Palm Jumeirah in Dubai, United Arab Emirates, Jan. 19, 2023.

Christopher Pike | Bloomberg | Getty Pictures

A United Arab Emirates resident and Nigerian citizen was once sentenced to 8 years in federal jail for orchestrating a multimillion-dollar fraud scheme that victimized companies around the U.S., Illinois federal prosecutors mentioned.

Olalekan Jacob Ponle was once extradited from the UAE into the custody of the Federal Bureau of Investigation in July 2020, the place he remained till pleading accountable to a unmarried twine fraud depend previous this yr, the U.S. Division of Justice mentioned in a Tuesday press unlock.

Ponle labored with a community of scammers to masquerade as company entities the use of phishing emails. The scammers duped staff into sending cash on behalf in their “employers,” who have been in point of fact scammers.

Ponle, higher referred to as Woodberry, was once a minor famous person in his house nation of Nigeria because of his profligate shows of wealth on social media.

He trusted a community of “mules” to obtain the finances and convert them into bitcoins he won. The Nigerian citizen used the proceeds of his rip-off to buy ultra-high-end cars, together with a Rolls Royce Cullinan and a Lamborghini Urus.

Ponle will forfeit the ones pieces, jointly valued at over $1 million, and pay greater than $8 million in restitution to sufferer firms. Ponle had already forfeited 151 bitcoins, valued at over $4.5 million as of Wednesday.

He was once prosecuted regardless of the loss of an extradition treaty between the UAE and america. Federal officers on the DOJ’S Place of business of Global Affairs labored with their UAE counterparties to safe Ponle’s rendition.