Genesis and Gemini Sued By Letitia James New York Attorney General for Defrauding 230,000 Investors!
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New York attorney general Letitia James on Thursday declared that her office has sued Gemini Trust, Genesis Global and Digital Currency Group for defrauding some 230,000 investors of more than $1 billion.
Civil suit also charges former Genesis CEO Soichiro “Michael” Moro and DCG founder and chief Barry Silbert for attempting to hide the true financial condition of its lending unit, Genesis, to the Gemini exchange, its customers and the public.
According to the allegations, Genesis, to lend out huge amounts to other companies later, when they went bankrupt, lost a significant amount of money. Gemini tried to cover up these losses by dissembling and absorbing them when it really just made a promise to pay later.
Letitia James says both Gemini and Genesis were dishonest to their customers by claiming their investment program was safe and secure and that Genesis portrayed themselves as trustworthy. The NYAG also accuses other companies and executives of hiding the $1.1 billion loss.
