OneCoin Founder's Brother Agrees to Testify Against Sister in Settlement

Konstantin Ignatov, the brother of OneCoin's fugitive founder Ruja Ignatova, has agreed to testify against his sister as part of a settlement.

August 21, 2020 | AtoZ Markets – Konstantin Ignatov, the brother of OneCoin’s fugitive founder Ruja Ignatova and a major figure behind the $4 billion Ponzi scheme, agreed to testify against his sister as part of a settlement that saw Ignatov dismissed from civil litigation targeting the scam.

New details regarding the settlement’s terms reveal that Ignatov has agreed to cooperate with the class of OneCoin investors bringing the suit forward and testifying against his sister, the mastermind behind the scam, on their behalf should the suit go to trial.

Ignatov pleaded guilty to charges of money laundering

Konstantin Ignatov, the brother of OneCoin’s fugitive founder Ruja Ignatova, pleaded guilty to charges of money laundering and conspiracy to commit wire fraud last year. He is facing up to 90 years of imprisonment in the criminal case brought against him.

Ignatov’s sentencing is currently scheduled for November 11 after getting postponed a couple of times. His testimony also helped secure the conviction of lawyer and alleged OneCoin money launderer Mark Scott in November 2019. The new settlement could mean less punishment for Ignaotov, as reported earlier.

Cryptoqueen Ruja Ignatova is still on the run 

As AtoZ Markets earlier reported, the New York Southern District Court had postponed Ignatov’s sentencing for three months at the U.S. government’s request. However, the face of OneCoin, who is known as the mastermind behind this major crypto scam, Ruja Ignatova, is still in hiding. Law enforcement agencies have failed to find her whereabouts so far. OneCoin worked as a multi-level marketing (MLM) network. This strategy requires members to receive commissions for recruiting others to invest in cryptocurrency packages. 

This MLM structure helped in the rapid growth of the OneCoin member network. The network claimed to have more than 3 million members across countries. These include the victims living and working within the Southern District of New York. 

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