David Carmona, the founder of IcomTech, has been sentenced to 121 months in prison for his involvement in an $8.4 million cryptocurrency fraud. In addition to his sentence, he will have approximately three years of supervised release.

IcomTech's deception of investors

In 2018, David Carmona and six others started IcomTech, presenting it as a crypto mining and trading company that promised profits to investors in exchange for purchasing crypto-related products. The company assured investors that they could double their investment within six months, which turned out to be false.

Aggressive marketing and fund misuse

Carmona and his associates actively promoted the company, traveling around the US and overseas, organizing expos and community presentations to draw in victims. The scheme allowed investors to track their supposed returns on an online portal, but most could not access the funds. While investors expressed concern about fund withdrawal difficulties, these individuals used the funds to purchase real estate and luxury items and continued to promote the company by offering Icom tokens, which turned out to be worthless.

Consequences for co-conspirators

In addition to Carmona's sentence, his associate, former IcomTech CEO Marco Ruiz Ochoa, was sentenced to five years in prison.

Carmona's sentencing marks a significant step in the legal battle against cryptocurrency frauds, reminding potential victims to exercise caution when considering investments.