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Bitcoin Fraudsters Ordered to Repay $30 Million in Three Months

Bitcoin Fraudsters Ordered to Repay $30 Million in Three Months

A gang of British fraudsters in jail for stealing crypto have been given an ultimatum: Pay back $30 million in three months, or risk another 14 years behind bars.

Back in 2017, James Parker had discovered a glitch in an Australian exchange called CoinSpot that allowed him to withdraw vast amounts of money—initially without detection.

Parker died before he could be prosecuted, but three friends who were let in on the bug proceeded to make millions of dollars between them.

Stephen Boys, Kelly Caton and Jordan Robinson were jailed for money laundering two years ago. A judge has now ordered them to pay compensation to CoinSpot so they don’t benefit from their crime once released.

The dramatic rise in Bitcoin’s price means the exchange has actually already been made whole—with a surplus of $3.6 million shared out between British courts, the police and the government.

During the trial that led to the gang’s conviction, a court heard of their wild excesses while the scam was in full swing.

They were accused of handing out high-value Amazon vouchers to passersby in the street, buying cars for people they had just met in the pub, and even buying a villa from Russian associates after giving them a suitcase packed with cash.

Luxury watches, high-end cars, and properties were also seized when the police sprang into action—with CoinSpot’s founder hiring a private investigator to track down the gang’s ringleader.

Parker was unemployed and living in the small seaside town of Blackpool, and was bed-bound when he had started dabbling in crypto. He quickly went from someone living on welfare payments to a millionaire as he took advantage of the bug, according to police.

The U.K. Crown Prosecution Service says it worked with the police to assess the value of the assets held by the imprisoned trio.

Lancashire Constabulary says it was an “extremely challenging investigation”—but the confiscation order imposed by the judge is an “outstanding result.”

Edited by Stacy Elliott.

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