Italian Police Accuse Crypto Exchange CEO of the Most Sophisticated Cyber-theft in Europe
Italian Postal Police have accused the CEO of cryptocurrency exchange BitGrail Franscesco Firano of allegedly scamming over 250 thousand people of 120 million euros on BitGrail, which he owns.
The scam which is referred to as the largest cyber-financial attack in Italy and one of the largest ever in the world in the cryptocurrency sector covers accusations on computer fraud, self-laundering and fraudulent bankruptcy.
According to an Italian local newspaper Il Messaggero, an investigation carried out with the coordination of the Postal Police and Communications Service of Rome, and the support of the American FBI unravelled the active involvement of Franscesco Firano aka FF in the online theft.
Bitcoin slightly drops to 22,757.40 in current price, dropping by -3.50% in the last 24 hours. Within 24 hours, bitcoin dropped to only $ $21,960.19 low and experienced $24,273.04 high. The trading volume of bitcoin in the last 24 hours is $39.96B. The current market capitalization of bitcoin is $422.69B. Currently, 18,577,287.5 bitcoins is in circulation.
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It was also discovered that the theft was conducted several times on the crypto platform, starting from June 2017, and FF deliberately did not work on the security of the platform, leading to the loss of about 11 million 500 thousand Xrb, worth 120 million euros.
The accusation went further too state that FF refused to shut down the platform despite noticing fraudulent activities going on, and went on to profit massively through deposit and trading fees that significantly between 1 December 2017 and 28 February 2018.
Three days before he filed the complaint he transferred customer funds (in cryptocurrency) worth €1.7 million to his account in a Maltese Bitcoin exchange and converted some of his loots into €514,690.00 to clean the cash.
Six search warrants have since then been issued against FF and his and collaborators, with the seizure of a large number of computer devices PC, hard-disk, pendrive.