Federal authorities in the Eastern District of Virginia have recovered nearly $2 million for a victim of a cryptocurrency investment fraud, according to an announcement from the U.S. Attorney’s Office for the Eastern District of Virginia. The funds were seized and cleared through civil asset forfeiture and are now in the process of being returned to the victim.
Court documents detail how perpetrators initiated contact with the victim via an unsolicited text message about visiting Central Park. They built trust over time before persuading the victim to invest in cryptocurrency through a fake website designed to look like a legitimate platform. The fraudulent site falsely reported that investments were growing, but when the victim tried to withdraw money, scammers claimed taxes were owed on supposed profits and demanded additional payments. Ultimately, none of the invested funds could be withdrawn.
The stolen money was then laundered by moving it through multiple transactions and rapidly exchanging it between different cryptocurrencies.
In December 2024, law enforcement including the FBI and Loudoun County Sheriff’s Office seized close to $2 million from three cryptocurrency wallets as part of their investigation. A civil forfeiture complaint was filed in U.S. District Court against these assets, which have now been ordered forfeited so they can be returned to the fraud victim.
Erik S. Siebert, U.S. Attorney for the Eastern District of Virginia; Reid Davis, Special Agent in Charge of the FBI Washington Field Office’s Criminal Division; and Michael L. Chapman, Loudoun County Sheriff, jointly announced these developments.
“The matter was handled by Assistant U.S. Attorney Annie Zanobini.”
Further details about this case can be found on the website of the U.S. Attorney’s Office for the Eastern District of Virginia or by searching Case No. 1:25-cv-559 on PACER or at the District Court for the Eastern District of Virginia.
