US attorneys accused Wednesday Asa Saint Clair, president of an unaffiliated UN organization, of fraud, alleging that he had defrauded investors using the IGOBIT digital token.
South York District attorneys said St. Clair persuaded investors to subscribe to the "World Sports Alliance" through its IGOBIT digital currency, promising investors an equity stake from 2017 to September 2019. .
According to the indictment, IGOBIT was never built and project investors did not receive the promised tokens.
"Asa Saint Clair used the World Sports Alliance, a fake United Nations subsidiary, as a means of defrauding lenders," said Manhattan US Attorney Geoffrey S. Berman in a statement. "Saint Clair allegedly defrauded investors in IGOBIT, a digital currency that he thought was developing, but which has turned out to be a fraudulent bait to lure investor victims."
Instead, St. Clair would have siphoned money for his personal use.
"Saint Clair would have claimed that his company promoted the values of sport and peace for a better world, while defrauding all those who invested in its fake society," said Peter Fitzhugh, special agent in the matter, in a statement. "As it is claimed, St. Clair used the money that he earned through deception to finance a lavish lifestyle for himself and his family."
St. Clair risk up to 20 years in prison if he is convicted of wire fraud.
The World Sports Alliance did not immediately respond to CoinDesk's request for comment.
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