Retiree Investment Scammer Jailed

When more than a dozen retirees entrusted Richard Emile Ayoub with millions of dollars in life savings to invest on their behalf, this self-proclaimed strategic thinking businessman used that cash to sell Bitcoin in an elaborate scam. purchased.

After swindling 21 investors out of $3.5 million in January-February 2021, a Sydney-based American was sentenced to two years and six months in prison and an 18-month non-parole period.

He pleaded guilty to two counts of reckless handling of criminal proceeds.

Judge Robin Tupman said both counts were objectively serious offenses when he ruled in Downing Center District Court on Friday.

“Many of the victims seem to be seniors looking to invest in retirement plans and such, and in many cases that seems to have saved their lives,” she said.

At the time, the 54-year-old was working with longtime associate Jaz Singh on a scheme that promised investors that their money would be used to buy bonds, but was instead used to buy bitcoin. I got

He previously told the court that he owed $2 million to family and friends and was in a desperate financial situation when he agreed to take the job with Shin.

Judge Tupman found that he purchased Gucci products, paid for his son’s private school, exchanged US currency, and lived in a Woolloomooloo apartment on the southeast coast of Sydney for $4,500 a week. pointed out and dismissed this rationale.

“These are the kind of places that financially desperate people don’t usually frequent,” she said.

“He did not commit these crimes out of necessity. He committed them out of greed.

Victims between the ages of 31 and 83 were duped after coming across a fake website masquerading as a legitimate financial company offering bond investment services provided by Singh himself.

They realized their mistake after the communication channel was cut or after being informed by the actual company that they had been scammed.

Judge Tupman said, “Many gullible people have lost large sums of money that they can never get back.

Ayoub’s role in the scam included taking investors’ money into the bank accounts of his company Radhanite.

The American transferred the amount to a personal bank account, pocketed 5% of the stock, and used the remaining 95% to buy Bitcoin for Singh.

Transfers varied from $20,000 to $500,000.

Judge Tupman said the fraud was clever and that although Ayoub was not a party to the fraud itself, the money he received came from the proceeds of the crime.

“He was more than just a conduit. The fact that he was involved in and participated in multiple transactions adds to the objective significance of this,” she said.

The deal earned Ayoub over $180,000 in six weeks.

Americans believe investors are sending money to invest in cryptocurrencies, despite the description of the deal reading “three-year bond” or “bond purchase.”

he has since been detained police They raided his home and arrested him in November 2021 after an eight-month investigation.

He was convicted and imprisoned for similar crimes in the United States more than 20 years ago.

Ayoub could be released as early as May 2023.

Australian Associated Press is an Australian news agency.

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