New York Attorney General Letitia James has frozen $2.2 million in cryptocurrency linked to a fraudulent remote job scheme. On January 9, 2025, she announced a lawsuit against a group of scammers who tricked people into thinking they could earn money by applying for fake jobs. Victims were lured in with promises of compensation for opening cryptocurrency accounts and depositing funds, which were then lost. The Attorney General’s office, along with the U.S. Secret Service, aims to recover the stolen funds for those affected and stop the scammers from further illegal activities. This crackdown highlights the growing concern over online job scams and the importance of awareness among job seekers.
New York Attorney General Letitia James has taken significant action against cryptocurrency scammers, freezing approximately $2.2 million in stolen digital assets. This move comes after James filed a lawsuit against a group of scammers who lured victims with fake remote job opportunities.
The scammers targeted individuals across the state, claiming to help them find employment. Instead, they tricked New Yorkers into depositing substantial amounts of cryptocurrency, guaranteeing financial compensation in return. Victims were persuaded to set up cryptocurrency accounts and make deposits to participate in bogus product reviews on counterfeit websites that mimicked recognized brands.
The Attorney General’s office, in collaboration with the U.S. Secret Service and the Queens County District Attorney’s Office, is working to recover the stolen funds. Their legal action aims not only to recover the lost cryptocurrency for victims but also to impose penalties, restitution, and damages against the scammers involved.
Scammers falsely assured victims that their initial payments would be reimbursed as commissions, crafting a deceitful narrative to exploit their trust. Attorney General James’s efforts mark a crucial step in addressing cryptocurrency fraud, protecting consumers from such scams.
This development highlights the growing challenge of job-related scams, particularly those exploiting the popularity of cryptocurrency as a means of payment.
For more updates on responses to fraud and consumer protection efforts, check our blog regularly.
Tags: Cryptocurrency Fraud, Letitia James, Consumer Protection, Job Scams, New York News.
What happened with the $2.2M in cryptocurrency?
Recently, the Attorney General froze $2.2 million in cryptocurrency. This money was stolen through a fake job scam. Scammers tricked people into thinking they were offering real jobs, then took their money.
How did the fake jobs scheme work?
The scheme typically involved scammers posting fake job ads. When people applied, they were asked to pay fees or invest money to secure the position. Once they paid, the scammers vanished with their cash.
Who were the victims of this scam?
The victims were often job seekers looking for opportunities. Many of them lost significant amounts of money believing they were investing in real jobs. The AG’s office is now working to help these victims recover their funds.
Can victims get their money back?
The Attorney General’s office is trying to recover the frozen cryptocurrency. However, it’s not guaranteed that all victims will get their money back. Each case will be looked at carefully to see how much can be recovered.
What can people do to avoid these scams?
To avoid fake job scams, job seekers should:
– Research companies before applying.
– Be wary of jobs asking for upfront fees.
– Look for professional contact information.
– Trust your instincts—if a job seems too good to be true, it probably is.