Key facts
- Geoffrey K. Auyeung was sentenced to five years in prison for money laundering.
- The scheme defrauded investors of approximately $97.1 million.
- Auyeung converted fiat funds into Bitcoin, Ethereum, and stablecoins (USDT, USDC).
- Funds were transferred to crypto exchanges like Gemini, Bitstamp, Coinbase, and Binance.
- He earned at least $4 million in commission payments for his role.
- Auyeung continued to communicate with co-conspirators after his arrest and indictment.
Geoffrey K. Auyeung, a 47-year-old man from the Seattle area, has been sentenced to five years in prison for his involvement in a cryptocurrency fraud scheme that defrauded investors of nearly $100 million. Prosecutors stated that Auyeung was responsible for receiving fraud proceeds and converting them into Bitcoin, Ethereum, and stablecoins like USDT and USDC before sending them to co-conspirators' bank accounts or crypto addresses.
First Assistant U.S. Attorney Neil Floyd noted that Auyeung facilitated a fraud that stole investor money, promising legitimate escrow accounts while diverting funds. Floyd also highlighted that Auyeung continued to communicate with co-conspirators and receive illicit fees for 16 months after his indictment and arrest, demonstrating a disregard for the law.
The scheme, which ran from at least 2022 to 2024, convinced victims to invest in oil and gas ventures. Instead, Auyeung transferred the funds to crypto exchanges such as Gemini, Bitstamp, and Coinbase to purchase digital assets. Most of the cryptocurrency was eventually moved to Binance, and victims ceased receiving communication.
Between June 2022 and July 2024, Auyeung's accounts received $97.1 million in wire transfers and deposits, believed to be fraud proceeds. He allegedly funneled funds through various accounts and entities to avoid scrutiny, rapidly converting fiat into cryptocurrency and dispersing it to co-conspirators. Auyeung earned at least $4 million in commissions and is forfeiting over $2.3 million seized from bank accounts, a car, and $7.1 million from crypto wallets.