2 UK men convicted of crypto investment fraud
The UK’s Financial Conduct Authority has successfully prosecuted two men involved in a £1.5 million cryptocurrency investment fraud scheme that targeted 65 investors.
Raymondip Bedi and Patrick Mavanga deceived potential investors by promising high returns through fraudulent crypto investment platforms, according to the FCA.
Between February 2017 and June 2019, Bedi and Mavanga reportedly cold-called consumers and directed them to professional-looking websites advertising lucrative crypto investments, which turned out to be scams.
By establishing credibility with a sophisticated online presence, the duo convinced victims to invest their money, resulting in over £1.5 million (approximately $1.95 million) in losses for 65 investors.
Cybersecurity experts warn that seemingly legitimate phone calls can lead to crypto fraud and financial losses.
“When it comes to scams and fraud, if someone calls you on the phone and says they are from a company — JP Morgan, Chase, Coinbase, Kraken — I don’t care what company, when someone calls you and says they’re from that company and urgently needs you to do something, hang up the phone.”
Coinbase CISO, Jeff Lunglhofer, told crypto.news when discussing social engineering scams.
Bedi and Mavanga pled guilty to charges including conspiracy to defraud, operating without FCA authorization, and money laundering, according to the FCA.
FCA law
The FCA’s regulatory role, which was highlighted in this case, involves licensing legitimate financial services and taking action against unauthorized activities.
According to UK law, only those registered with the FCA are permitted to legally promote or offer financial products. Any attempt to bypass these regulations, as demonstrated in this case, is considered a serious offense.
The FCA’s prosecution of Bedi and Mavanga is an example of the agency enforcing these standards.
Additional charges and defendants
Mavanga faced additional charges for deleting phone records documenting the fraudulent scheme, an act the court ruled perverting the course of justice. Both men are set to be sentenced at a later date.
The FCA also noted in their release that a third defendant will face a retrial in September 2025, while a fourth, Rowena Bedi, was acquitted.
Another suspect, Minas Filippidis, remains at large.
