A Serbian man has been extradited to the United States, where he faces charges in two separate federal indictments in the Northern District of Texas and Eastern District of New York for his alleged participation in coordinated cryptocurrency and binary options schemes.
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Pursuant to a request for provisional arrest followed by a request for extradition, Georgian authorities arrested Kristijan Krstic in Batumi, Georgia.
The U.S. Marshals Service (USMS) completed the removal of Krstic on Oct. 30 from Georgia to the Northern District of Texas.
Krstic arrived in the Northern District of Texas made his initial appearance today in the U.S. District Court for the Northern District of Texas, where he will first face charges before being transferred to face additional charges in the Eastern District of New York.
“This extradition is the result of continued coordination between the Justice Department and our Georgian law enforcement partners in the fight against transnational organized crime,†said Acting Assistant Attorney General Nicole M. Argentieri of the Justice Department’s Criminal Division.
“We are committed to protecting the people of this nation by investigating and prosecuting individuals involved in cryptocurrency fraud.â€
In March 2020, a federal grand jury in the Northern District of Texas indicted Krstic for his role in defrauding investors worldwide out of more than $70 million through fraudulent cryptocurrency and binary options investment platforms.
Krstic and more than a dozen other alleged fraudsters were also indicted on charges of conspiracy to commit wire fraud and conspiracy to commit money laundering in the superseding indictment in July 2020.
“The work on this case exemplifies the whole of the Justice Department to bring cyber criminals including those who use cryptocurrency and other purported cyber investment platforms to victimize the citizens of the United States to justice,†said U.S. Attorney Leigha Simonton for the Northern District of Texas.
“The U.S. Attorney’s Office for the Northern District of Texas will work hand in hand with our law enforcement partners to ensure that cyber criminals are held accountable regardless of their location.â€
According to court documents, the defendants allegedly helped create and market more than 20 fraudulent cryptocurrency and binary options investment platforms, including Start Options, Trinity Mining, Hedger Tech, BTC Mining Factory, Bitcoin Trading World, Dragon Mining, BTC Trader Online, Crypto Trading World, Go Solar Mining, BTC Falcon, Perpetual Energy, Perfect Options, Options Rider, Option Giants, Banking Options, Aeon Options, Bancde Options, Instant Options, Fast Options, and Elite Options.
“The FBI remains committed to pursuing subjects across international boundaries who are increasingly utilizing sophisticated virtual asset schemes to defraud investors,†said Assistant Director Luis Quesada of the FBI’s Criminal Investigative Division.
“Victims were told their investment in Start Options and B2G would return significant wealth, but many were defrauded and harmed as a result. The FBI thanks our national and international partners for their efforts throughout the investigation to help bring justice for the victims.â€
“This extradition occurred because of international cooperation and the FBI’s persistence to hold this individual accountable for defrauding thousands of innocent victims. Some victims lost their entire savings to this scheme and have not been able to financially recover,†said Special Agent in Charge Chad Yarbrough of the FBI Dallas Field Office.
“We would like to thank our international partners for assisting us with the arrest and extradition of Mr. Krstic. He will now finally face charges for his actions in the United States.â€
Krstic is charged in the Northern District of Texas with one count of conspiracy to commit wire fraud and one count of conspiracy to commit money laundering in an alleged scheme to create, promote, market, and organize fraudulent online investment platforms. If convicted, he faces a maximum penalty of 20 years in prison for each count.
The FBI Dallas Field Office is investigating the case.
Assistant U.S. Attorneys Michelle Winters and Nicole Dana for the Northern District of Texas are prosecuting the case. Assistant U.S. Attorneys Dimitri Rocha and John de la Garza for the Northern District of Texas assisted with forfeiture matters. ■