Key Highlights
- Greek police arrested 17 people, including two alleged leaders, in connection with a criminal organization accused of operating a cryptocurrency investment fraud scheme.
- Authorities said the group allegedly promised to double investors’ capital within 50 days while making assurances of high or guaranteed returns with little or no risk.
- Investigators said the organization had recruited at least 10,000 people, while more than $8 million reportedly entered the platform used by the group.
Greek police have arrested 17 people in connection with an alleged criminal organization accused of fraud involving cryptocurrency investments. Authorities estimate that more than $8 million flowed into the investment platform used by the group. Investigators identified 18 victims who invested a total of more than 55,000 euros.
According to a statement published by Greek Police on October 2, the operation followed a months-long investigation by officers from the Katerini Crime Prosecution and Investigation Sub-Directorate.
Police said the organization had been active since at least 2025, using legitimate-looking corporate structures and an online platform to target victims. Members allegedly promised to double investors’ initial capital while operating without the required license from the competent authority.
Details of the investigation and arrests
A coordinated police operation took place across multiple areas, including Pieria, Larissa, Mytilene, Patras, Ioannina, Komotini, Preveza, Attica, and Kavala. Seventeen members of the organization were arrested, including two identified as leaders. A case file was also opened against nine additional members.
According to the investigation, the group operated a pyramid scheme that promised exceptionally high and fictitious returns, including the doubling of investors’ capital within 50 days. Members allegedly made false assurances of high and guaranteed returns with minimal or zero risk. Other members focused on recruiting new investors. Authorities stated that the organization had recruited at least 10,000 people, with approximately $8 million flowing into the platform.
During the investigation, authorities identified 18 victims who had invested through the platform. The total amount involved was €55,970.
Items seized during searches
Searches were conducted at five offices, nine homes, and other locations. Items recovered included 32 mobile phones, 38 portable data storage units (USB sticks), 16 data storage disks, 28 laptops and desktop computers, 15 tablets, one money counting machine, one closed-circuit camera recorder, bank cards, mobile phone cards, and 295,090 euros in cash.
In the possession of one arrested individual, police also found and confiscated one flare gun, three firecrackers, and 26 metal pellets.
The arrested individuals, along with the case file, were presented to the Prosecutor of the Court of First Instance of Katerini, who referred them to the Investigating Officer.
Related cases in the United States
In a separate matter, Xuehai Sun, a 38-year-old resident of Flushing, New York, pleaded guilty to conspiracy to commit wire fraud. The case involved a transnational scheme that defrauded elderly victims in the United States and Canada, with known losses exceeding $5 million. Sun entered the plea on September 30 before U.S. District Judge Mary S. McElroy in Rhode Island.
Authorities identified about 300 victims in at least 37 states, including Rhode Island. Investigators also identified approximately $16 million in suspected fraud proceeds that were allegedly laundered through a related account. Sentencing is scheduled for January 6, 2027. Conspiracy to commit wire fraud carries a maximum sentence of 20 years in federal prison, subject to sentencing guidelines and other factors.
The Commodity Futures Trading Commission reported that the U.S. District Court for the Middle District of Florida entered a default judgment against defendants Brian Early and Alisha Ann Kingrey. The case concerned their participation in a digital assets and precious metals fraud involving the Fundsz.
The default judgment followed consent orders against two other defendants: Rachel Larralde, as personal representative of the estate of Rene Larralde, and Juan Pablo Valcarce. The orders resolved all remaining claims in the CFTC action, according to a September 30 release.
Separately, the U.S. Securities and Exchange Commission charged four entities in two civil cases over alleged cryptocurrency and artificial-intelligence investment scams. The schemes collectively involved more than $15 million from retail investors. The SEC stated that the schemes used online platforms, including WhatsApp, to contact potential investors and promote purported crypto or AI-based opportunities.
The entities allegedly claimed to be regulated or registered with the SEC. The complaints, filed September 29 in the U.S. District Court for the Southern District of New York, named Cryptoaiml Ltd. and Cryptoaiml Capital Foundation in one case and TSAI Pro Ltd. and TSAI Capital Foundation in the other. The SEC alleged that the Cryptoaiml entities took more than $12.5 million from more than 300 retail investors, while the TSAI entities allegedly misappropriated at least $2.8 million from about 1,715 investors.
The Greek case remains under judicial review following the arrests and referral to the investigating officer.
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