<h2>New York Court Grants US Government to Get Involved in $7 Million Bitcoin Scam Case</h2>
The New York Southern District Court has ruled on the side of the United States government to involve in a case against Jon Barry Thompson. He is the person who is accused of a $7 million Bitcoin scam.
The New York Judge, Loretta A. Preska ruled on Nov 19 and granted the U.S. government the right to intervene in the civil proceeding. The proceeding that is running parallel to a criminal multimillion Bitcoin fraud case.
The dweller of Easton, Pennsylvania, Thompson is alleged with making false representations to the customers in connection with the reported acquiring of Bitcoin which was having the worth of $7 million. The Judge, Preska made a statement:
<blockquote><em>“Upon the consent of all relevant parties, the Government’s application to intervene in the above-entitled matter. And to stay the matter in its entirety until the conclusion of the parallel criminal case, United States v. Jon Barry Thompson [...] is granted.”</em></blockquote>
<h3>The Beginning of Case By <a href="https://www.cftc.gov/">CFTC</a></h3>
Lately, in September, CFTC began the case hearing. CFTC claimed Thompson, the head of  Bitcoin escrow service, grabbed the funds of clients and sent the money to the third parties. The Bitcoin was given to clients while their funds were not protected as claimed.
The CFTC therefore, seeks restitution, disgorgement, civil monetary penalties, lifetime trading, and registration shutdowns. It also seeks a completely injunctions against all violations of the Commodity Exchange Act and the CFTC's regulation.
<h3>Further Injunctions in the Crypto Industry</h3>
Reportedly on Nov 6, the Office of U.S Immigration and Customs Enforcement's Homeland Security Investigations and prosecutors for the Southern District of New York blamed Asa Saint Clair for getting involved in a crypto scheme dubbed gigabit. Saint Clair was accused of one count of wire scam. And this charge carries maximumly 20 years imprisonment if declared guilty.

Moreover, the previous month, <a href="https://www.cryptoknowmics.com/crypto/sec-files-emergency-lawsuit-against-14-million-fraud-ico-organizers/">Reggie Middleton</a>, the CEO at Delaware-registered blockchain company, Veritaseum was commanded to pay $8.4 million in disgorgement in a securities scam case. He is also the CEO of New York-registered company, Veritaseum Inc.

New York Court Grants US Government to Get Involved in $7 Million Bitcoin Scam Case

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