Founders of Floyd Mayweather-endorsed ICO Charged for Fraud



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Cryptocurrency firm Centra Tech’s three co-founders were all indicted by a grand jury, announced the U.S. Attorney for the Southern District of New York on Monday.

Raymond Trapani, Robert Farkas and Sohrab Sharma were all accused of allegedly planning to defraud investors through Centra Tech’s token sale. Robert Khuzami, U.S. District Attorney announced that more than $60 million in funds from the co-founders have been recovered. All three are being indicted with counts of conspiracy and wire fraud by the commission of securities and exchange.

Centra Tech was said to have offered “cryptocurrency-related financial products,” and the founders supposedly created a plan to persuade victims to invest millions of dollars’ worth of digital assets for unregistered securities.

The three were also said to have withheld important information and misled investors by claiming connections to payments companies.

Centra Tech’s token sale was endorsed by heavyweight boxer Floyd Mayweather and claimed to have secured partnerships with Visa and Mastercard. According to the SEC, these partnerships never existed.


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