David Carmona, the founder of IcomTech, has been sentenced to 121 months in prison for his role in a fraudulent cryptocurrency Ponzi scheme that deceived many working-class individuals. U.S. District Judge Jennifer L. Rochon delivered the sentence on Friday, following Carmona's guilty plea to conspiracy to commit wire fraud.
Established in 2018, IcomTech presented itself as a crypto mining and trading company. Prosecutors revealed that the firm promised substantial profits to investors who purchased its so-called cryptocurrency-related investment products. However, the reality was starkly different; IcomTech did not engage in any legitimate trading or mining activities.
U.S. Attorney Damian Williams criticized Carmona's actions, stating that he "preyed upon working-class people" by promising financial freedom in exchange for their hard-earned money. IcomTech promoters hosted extravagant events, showcasing their supposed wealth through expensive cars and luxury attire to lure in potential investors.
When investors attempted to withdraw their funds in 2018, they faced numerous excuses, delays, and hidden fees. Despite the complaints, Carmona and his team continued to promote IcomTech and accepted investments until the company's inevitable collapse by the end of 2019.
In a related case, former IcomTech CEO Marco Ruiz Ochoa was sentenced to five years in prison in January. The repercussions of this Ponzi scheme serve as a stark reminder of the risks associated with unregulated cryptocurrency investments.
