Spanish authorities announced the arrest of a man accused of orchestrating a 260 million-euro ($300 million) international investment scam promising returns on various assets including cryptocurrency, gold, and luxury yachts.
The suspect, known as A.R. and online as “CryptoSpain,” allegedly managed the Madeira Invest Club, which began its operations in early 2023 as a private investment group, according to RialCenter.
As per authorities, the scheme lured over 3,000 victims by guaranteeing returns on contracts related to digital art, luxury vehicles, whisky, real estate, and cryptocurrencies.
While promised profits and buyback guarantees formed the sales pitch, officials assert that no genuine investment activity took place. Instead, the club reportedly functioned as a Ponzi scheme, with returns for early participants being disbursed from new investors’ funds.
As the operation grew, it established a complex web of shell companies and bank accounts across at least 10 countries, including Portugal, the U.K., the U.S., Malaysia, and Hong Kong.
The investigation, dubbed Operation PONEI, involved Europol as well as law enforcement agencies from several countries including the U.S., Singapore, Malaysia, and Thailand.
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