On July 18, Eddy Alexandre, the CEO of EminiFX, a cryptocurrency and forex trading platform, was sentenced to nine years in prison by United States District Judge John P. Cronan.
Alexandre was found guilty of defrauding over 25,000 investors of more than $248 million through his fraudulent investment platform.
The Deceptive Crypto Scheme Exposed
Alexandre’s EminiFX promised investors passive income through automated investments in the digital currency and foreign exchange markets.
The “Robo-Advisor Assisted account” offered by EminiFX claimed to double investors’ money within five months, luring thousands to participate in the venture.
However, the reality was far from the promised returns as investigations revealed that Alexandre did not invest a substantial portion of the funds entrusted to him by investors.
Instead, he fabricated weekly returns of 5% to attract new investors, leading them to believe that their investments were growing steadily.
In truth, the platform was operating as a Ponzi scheme, relying on new investments to pay returns to previous investors.
“This was a calculated, planned and ongoing fraud, the reach of the fraud is vast,” the US Judge said.
Impact on Victims and Community – Witness Statements in Court
The consequences of Alexandre’s fraudulent actions were far-reaching. Alexandre exploited his position of trust within his church and community to recruit new investors. His actions not only impacted the financial lives of his victims but also shattered the trust of the Haitian-American community he was a part of.
Phucien Baptiste, a victim who invested $25,000, challenged Alexander in court “Do you have a heart, Mr. Alexandre? I invested in this Ponzi scheme Mr. Alexandre brought to the community. Mr. Alexandre took this opportunity to rob the community.”
Another user of EminiFX identified as Ermine Mompremier, said, “It was the best thing that could happen to me. I was able to help me. It’s hard to see something that was so good turn bad, like people say.”
Alexandre also spoke during the hearing, saying, “I fully acknowledge the gravity of my actions,” he said. “I sincerely apologize to the Court and to all those affected. This experience has been a wake-up call… I am willing to make amends.”
The ruling came at the end of a four-hour sentencing hearing that proved to be emotionally charged, with prosecutors and victims facing off against the defense and supporters of Alexandre inside the courtroom.
The sentencing of Eddy Alexandre to nine years in prison and the requirement to pay restitution of nearly $214 million to the victims mark a significant step toward justice for those affected by the fraudulent scheme.
Total crypto market cap still sitting above $1.16 trillion | Source: Crypto Total Market Cap on TradingView.com
Featured image from Wallin & Klarich, chart from TradingView.com
