In 2024, Chirag Tomar, a 31-year-old from India, was sentenced to five years in prison for running a fake website designed to look like Coinbase Pro, a popular cryptocurrency exchange.
Starting in June 2021, Tomar and his associates created the website to trick people into providing their login details and security codes, which they then used to steal cryptocurrency from their accounts.
To further deceive victims, they also pretended to be Coinbase customer service representatives, contacting users directly to gain additional information or even remote access to their computers.
According to court records, Chirag Tomar ran a sophisticated scam where he stole people’s login credentials to their cryptocurrency accounts, giving him full access to their digital funds.
Once inside these accounts, Tomar transferred the cryptocurrency to wallets under his control. To cover his tracks, he would exchange the stolen cryptocurrency for other types of cryptocurrency and then move the funds between multiple wallets he managed.
This tactic of shuffling the money around made it harder for authorities to trace the origin of the stolen funds.
Using these methods, the scammers stole a total of $20 million from hundreds of people. One victim from North Carolina alone lost over $240,000. The stolen funds were moved through different cryptocurrency wallets and eventually converted into cash.
In case you missed it: Crypto scammers shift tactics, now exploiting with “Pig Butchering” schemes
The cash was then shared between him and his co-conspirators. Tomar used this money to fund a lavish lifestyle, purchasing expensive items like high-end watches, including brands such as Audemars Piguet.
He also bought luxury cars like Lamborghinis and Porsches and spent on extravagant trips to places like Dubai and Thailand.
The U.S. Secret Service and the FBI played key roles in catching Tomar, who was arrested in December 2023 when he arrived at the Atlanta airport.
In May 2024, he admitted to his crimes in court, pleading guilty to conspiracy to commit wire fraud. After serving his five-year sentence, Tomar will be supervised for two more years.
