Prosecutors Seek Harsh Sentence for Centra Tech Co-Founder

U.S. federal prosecutors have asked the court to sentence one of the founders of the cryptocurrency project Centra Tech, Robert Farcas, to a ‘substantial’ prison term.

Farcas is seeking house arrest and community service. The prosecution argues that such a sentence is inadequate for a multimillion-dollar fraud.

The authorities say that unscrupulous projects erode trust in ICOs. A harsh sentence would send a signal to perpetrators who plan to use digital assets and new technologies to carry out their schemes.

Farcas’s sentencing is scheduled for December 15.

gov.uscourts.nysd.493848.405.0 by ForkLog on Scribd

The Centra Tech startup raised $32 million during the ICO in 2017. The organisers promised to issue a debit card backed by Visa and Mastercard. They claimed to hold licenses to process money transfers in 38 states.

In 2018, Farcas, along with the other founders Sohrab Sharma and Raymond Trapani, was charged with deceiving investors. The famous boxer Floyd Mayweather and music producer DJ Khaled, recruited for media support, paid fines totaling $767,500.

In 2020, Farcas admitted organizing a fraudulent scheme. Sharma’s lawyers said he planned to plead guilty to the investor-deceit charges arising from the ICO.

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