The U.S. prosecutors seek to recover $7.1 million in cryptocurrency related to an oil and gas investment fraud case

ChainCatcher news, according to The Block, the U.S. Attorney's Office for the Western District of Washington has initiated a civil forfeiture lawsuit involving $7.1 million in cryptocurrency related to a petroleum and natural gas investment fraud case. Prosecutors accuse 47-year-old Geoffrey K. Auyeung and his accomplices of deceiving investors into wiring funds into a so-called "crude oil tank custody account," promising profits through leasing tank space.

Investigations show that the involved funds were transferred to 81 different accounts, with $1.9 million used to purchase assets such as Bitcoin, USDT, USDC, and Ethereum through 19 cryptocurrency accounts. Auyeung has been charged in 2024 with money laundering and other offenses, and $2.3 million in illicit funds from his bank account has already been seized. Prosecutors stated they will expedite the recovery of funds to compensate the victims.