Former Law Firm Partner Sentenced to 10 Years in Prison for $400 Million Cryptocurrency Fraud

Former Law Firm Partner Sentenced to 10 Years in Prison for $400 Million Cryptocurrency Fraud

In a major development, Mark Scott, a former partner at the prominent U.S. law firm Locke Lord, has received a 10-year prison sentence for his participation in a massive fraudulent cryptocurrency scheme. This article delves into the details of the case, shedding light on Scott’s involvement, the sentence he received, and the repercussions of his actions.

On Thursday, Manhattan federal prosecutors announced the sentencing of Mark Scott. He was found guilty of conspiracy to commit money laundering and conspiracy to commit bank fraud in connection with the OneCoin cryptocurrency fraud. This fraudulent scheme amounted to a staggering $400 million. U.S. District Judge Edgardo Ramos, the presiding judge in the case, sentenced Scott to 10 years behind bars. Additionally, Scott has been ordered to forfeit $392,940,000, along with various assets, including a yacht, two Porsche automobiles, four real estate properties, and multiple bank accounts.

Manhattan U.S. Attorney Damian Williams highlighted the fraudulent nature of Scott’s actions. Stating that Scott’s financial success was achieved through fraud and deception, Williams emphasized that Scott had amassed $50 million by the age of 50. The prosecutor further added, “Scott accomplished his goal, but by fraud and deception, and will now spend a decade in prison and has been ordered to forfeit all of his illegal proceeds.”

Prosecutors outlined that Scott’s involvement in the OneCoin cryptocurrency fraud began in 2015 when he met Ruja Ignatova, known as the “Cryptoqueen” and co-founder of OneCoin. Scott played a crucial role in setting up fake investment funds to launder millions of dollars obtained fraudulently in 2016. For his participation, Scott received over $50 million, enabling him to purchase lavish assets such as luxury cars, a yacht, and several seaside homes.

In the sentencing hearing, Scott’s defense team sought a five-year prison sentence, presenting him as a “broken man” who had endured four years of home confinement. However, prosecutors argued that a minimum sentence of 17 years was appropriate, emphasizing Scott’s greed and dissatisfaction with his already privileged position as a partner at a prestigious law firm. Ultimately, the judge settled on a 10-year prison term.

Following his involvement in the OneCoin scheme, Scott was disbarred by a New York state appellate court in November 2020. His lawyers have not yet responded to the recent developments. Meanwhile, another co-founder of the OneCoin fraud, Karl Sebastian Greenwood, received a 20-year prison sentence and was ordered to forfeit $300 million in September. Notably, Ruja Ignatova, the elusive “Cryptoqueen,” remains at large and was added to the FBI’s top 10 most wanted list in 2022.

The sentencing of Mark Scott, a former partner at Locke Lord, to 10 years in prison for his involvement in the $400 million OneCoin cryptocurrency fraud marks a significant step in the pursuit of justice. It serves as a reminder that even those occupying prestigious positions can succumb to greed and engage in fraudulent activities. As legal authorities continue to crack down on cryptocurrency scams, it is essential to remain vigilant in the face of potential fraud and manipulation in the digital asset space.