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Crypto Mining Fraud Unveiled in Vietnam, CEO of the Company Absconds

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Home made Working graphic video cards for e-currency. Computer for Bitcoin and cryptocurrency virtual mining. Crypto farm. Source; shutterstock.com

A new cryptocurrency fraud in Vietnam was unveiled recently when investors and board members of Sky Mining, a cryptocurrency mining firm, alleged that they have been unable to reach the company’s CEO, Le Minh Tam. The office of the company in Phu Nhuan District was also found closed, and the company’s nameplate was removed from the premises. The investors claim that the CEO has run away with their money.

Investors Cry Foul on the Company

After the company’s main office was found closed, the investors went to the neighboring district called Dong Nai Province. Bien Hoa Town, where the company’s mining facility with over 600 mining machines was located, was also found empty. The investors were informed that the machines were taken away by a group of people who claimed to be maintenance workers. Investors now suggest that Tam has run away with $35 million.

The deputy chairman of the company, Le Minh Hieu, said that Tam has gone to the US and taken all money away from the company and the investors. He also said that Tam managed all the assets of the company, including the storage and mining rigs. Therefore, he is not certain about what assets in the company remain. He said he has formed a temporary board of 16 members who will help the investors and calculate the remaining assets of the company.

In an interview with local media VnExpress, Hieu said that many investors have threatened to hurt his family. He added:

“[The board] has reported this to the police and showed evidence that we are not guilty. We are victims too.”

On the other hand, 20 investors have filed a petition for fraud with the Ward 9 police of the Phu Nhuan District.

Sky Mining Made Lofty Promises

Before things went south for the firm, Sky Mining claimed to be a cryptocurrency-mining company and asked people to invest in its mining rig. The investors were asked to pay anywhere between $100 and $5,000 for these rigs, which were claimed to be kept in 26 storage spots owned by the company around the country.

The company promised an initial investment to return in the next 12 months with up to 300-percent profits. After 12 months, the mining machines will have to be returned to the company. Investors said that up to 7,000 of such rigs had been acquired by the company.

Sky Mining also promised to pay commission for referrals. It held several events to lure investors, claiming it is the largest crypto-mining company in the country.

After a couple of days, Tam released a statement to the public, suggesting that he had suffered losses and must stay hidden to protect himself from the public.

Crypto Mining Fraud Unveiled in Vietnam, CEO of the Company Absconds was originally found on [blokt] – Blockchain, Bitcoin & Cryptocurrency News.