Horst Jicha promised high returns but delivered a fraud

  • USI Tech CEO charged with stealing $150 million in crypto scam
  • Horst Jicha promoted USI Tech as a high-yield investment scheme for crypto newbies
  • Prosecutors say it was a fraud
  • Jicha promised 1% returns every single day
  • USI Tech collapsed in 2018 after regulators issued cease and desist letters
  • Jicha transferred $150 million to overseas accounts
  • Jicha lived abroad for five years before being arrested
  • Jicha allegedly used a multi-level marketing scheme to defraud investors
  • Jicha scheduled to be arraigned on charges of securities fraud, conspiracy, wire fraud, and money laundering
  • Jicha’s attorneys claim the case is more complicated and others played a significant role
  • USI Tech promised 140% returns within 140 days
  • Jicha never gave a clear explanation of how the returns were achieved
  • USI Tech attracted the attention of regulators in the US and Canada
  • Jicha shut down USI Tech’s operations in the US and disappeared with $150 million

USI Tech CEO, Horst Jicha, has been charged with stealing $150 million in a crypto scam. Jicha promoted USI Tech as a high-yield investment scheme for crypto newbies, promising 1% returns every single day. However, federal prosecutors have revealed that it was a fraud. In 2018, USI Tech collapsed after regulators issued cease and desist letters, and Jicha transferred $150 million to overseas accounts. He lived abroad for five years before being arrested. Prosecutors allege that Jicha used a multi-level marketing scheme to defraud investors. Jicha is scheduled to be arraigned on charges of securities fraud, conspiracy, wire fraud, and money laundering. His attorneys claim that the case is more complicated and others played a significant role. USI Tech promised 140% returns within 140 days, but Jicha never provided a clear explanation of how these returns were achieved. The platform attracted the attention of regulators in the US and Canada, leading Jicha to shut down operations in the US and disappear with the $150 million.

Public Companies:
Private Companies: undefined
Key People: Horst Jicha (CEO), Breon Peace (U.S. Attorney for the Eastern District of New York), James Smith (Assistant Director in charge of the FBI’s New York field office), Marissel Descalzo (Attorney), David Tarras (Attorney)

Factuality Level: 3
Justification: The article provides information about the arrest and charges against Horst Jicha, the CEO of USI Tech, for running a crypto investment scam. It includes details about the collapse of USI Tech, the transfer of funds to overseas accounts, and Jicha’s arrest. The article also mentions the allegations of securities fraud, conspiracy to commit securities fraud, wire fraud, and money laundering against Jicha. However, the article lacks in-depth analysis and does not provide a balanced perspective. It also contains some repetitive information and does not provide a clear explanation of how USI Tech operated.

Noise Level: 3
Justification: The article provides relevant information about the USI Tech scam and the actions taken by federal prosecutors. However, it lacks depth and analysis, and there is no mention of long-term trends or antifragility. The article also does not provide evidence or data to support its claims. Overall, it is a short and superficial piece of news.

Financial Relevance: Yes
Financial Markets Impacted: Crypto-investment platform USI Tech

Presence of Extreme Event: No
Nature of Extreme Event: No
Impact Rating of the Extreme Event: No
Justification: The article pertains to financial topics as it discusses a scam involving a crypto-investment platform. It mentions the collapse of the platform and the violation of financial regulations. However, there is no mention of an extreme event or its impact.

Reported publicly: www.marketwatch.com