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News

Israeli Businessman Hogeg Faces Charges After Extensive Probe About $290M Crypto Scam

August 23, 2023 - Around 2 mins mins to read

Key Points:

  • Israeli businessman Moshe Hogeg faces $290 million in crypto scam charges after a 2-year inquiry.
  • Alleged fraudulent crypto projects and fund misappropriation were probed across borders.
  • Hogeg denies charges; the case is handed over to prosecutors for review.
According to Bloomberg, Israeli police have concluded a two-year investigation into businessman Moshe Hogeg and his partners, alleging their involvement in defrauding investors of $290 million through a cryptocurrency scam.
Israeli Businessman Hogeg Faces Charges After Extensive Probe About $290M Crypto Scam
Moshe Hogeg

The authorities are recommending charges of fraud, theft, money laundering, forgery, and tax offenses against Hogeg. This development comes after a probe into Hogeg’s activities, including his ownership of an Israeli Premier League soccer team.

Hogeg’s prominence in the cryptocurrency market surged during the ICO boom of 2017–2018. Under his leadership, the accused orchestrated four fraudulent crypto projects, raising $290 million from thousands of investors.

Despite promises, these projects failed to materialize, and instead, funds were allegedly misappropriated for personal use, even leading to Hogeg’s acquisition of Beitar Jerusalem FC.

The investigation, initiated in 2021, spanned multiple countries, involved over 180 witnesses, and amassed 900 pieces of evidence. Authorities secured assets and cash related to the case. While Hogeg and his co-defendants were initially arrested, they were subsequently released under house arrest.

Hogeg, who denies all charges, has a history of involvement in various startups, including the now-defunct Mobli photo-sharing app and the minimalistic messaging app “Yo.”

His participation in blockchain technology and cryptocurrency promotion activities, including raising $100 million within 24 hours for a cryptocurrency project, garnered attention.

As founder of the Singulariteam Ltd. investment fund, Hogeg remains connected to Web3 projects. Recently, he shared his engagement with the TomiNet cryptocurrency on social media.

The charges against Hogeg encompass financial fraud, money laundering, forgery, tax violations, and alleged sexual offenses. Throughout the investigation, Hogeg maintained his innocence, claiming mistreatment during questioning.

DISCLAIMER: The information on this website is provided as general market commentary and does not constitute investment advice. We encourage you to do your own research before investing.

crypto

Israel

Moshe Hogeg

Scam

Web3

Yo

Author

Harold

With a passion for untangling the complexities of the financial world, I've spent over four years in financial journalism, covering everything from traditional equities to the cutting edge of venture capital. "The financial markets are a fascinating puzzle," I often say, "and I love helping people make sense of them." That's what drives me to bring clear and insightful financial journalism to the readers of Coincu.