An Aussie fund manager got over 7 years in prison for stealing over $54 million from investors.
The founder of cryptocurrency investment funds, Stefan He Qin has been sentenced to over 7 years in jail for operating a Ponzi scheme that cheated investors out of $54 million.
According to a statement from the U.S. Department of Justice (DoJ), Stefan He Qin was sentenced on September 15, 2021, to 90 months in prison.
Based on the report, QIN pled guilty to one count of securities fraud before U.S. District Judge Valerie E. Caproni on February 4, 2021.
Stefan He Qin is a 24-year-old Australian who founded the Virgil Sigma Fund LP (Virgil Sigma) and the VQR Multistrategy Fund LP (VQR) — a pair of crypto hedge funds in New York.
Moreover, the judge said that Virgil had a market strategy called ‘market-neutral,’ safe investments. However, investors soon realized that his strategies were nothing but a disguised method to steal and make illegal investments with client funds.
Aside from this, Qin couldn’t answer. But he insisted on his scheme by trying to rob funds from VQR to repay his victim investors’ requests.
U.S. District Judge Valerie E. Caproni who imposed today’s sentence said,
"Qin’s shameless and wide-ranging scheme left his beleaguered investors in the lurch for over $54 million, and he has now been handed the appropriately lengthy sentence of over seven years in federal prison.”