Key Insights
- Lawyer Mark Scott’s bid for a new trial, despite a prosecution witness’s perjury in his 2019 trial related to the OneCoin cryptocurrency scam, has been denied.
- Scott, found guilty of money laundering and bank fraud conspiracy, claimed he was unaware of OneCoin’s fraudulent nature.
- OneCoin, initially presented as a cryptocurrency like Bitcoin, was later exposed as a pyramid scheme.
In a recent legal development, Mark Scott, a 54-year-old lawyer responsible for handling $400 million from the notorious OneCoin fraud, has had his motion for a new trial denied. This decision comes despite revelations of perjury by a prosecution witness during his 2019 trial.
Mark Scott’s quest for a new trial
As reported by Bloomberg on September 18, Scott contended that he was unaware of OneCoin’s fraudulent nature at the time of his involvement. He argued that he should not face charges for his role in establishing the fund that facilitated money laundering for OneCoin’s founder, Ruja “Cryptoqueen” Ignatov.
Back in November 2019, Scott was found guilty of both money laundering and bank fraud conspiracy. Prosecutors uncovered that he had accrued a staggering $50 million through a fraudulent fund responsible for processing payments and transactions linked to the OneCoin scheme.
Since then, Scott’s legal team has been actively pursuing a new trial, citing false testimony from a government witness during the initial proceedings.
However, during a hearing held on September 18, United States District Judge Edgardo Ramos rebuffed the defense’s request for a new trial. He expressed skepticism that “an innocent person may have been convicted,” even in light of the false testimony delivered by Konstantin Ignatov during the 2019 trial.
It’s worth noting that Ignatov, a government witness, admitted to aiding his sister Ruja in perpetrating the OneCoin scam.
Scott’s lawyers have vowed to appeal this decision, contending that their client is “disappointed that the court did not grant a new trial given the undisputed evidence that the Government’s sole cooperating witness perjured himself.”
The rise and fall of OneCoin
OneCoin, launched in 2014, initially marketed itself as a cryptocurrency akin to Bitcoin. However, it was later exposed as a pyramid scheme that attracted unsuspecting investors with fictitious claims and the promise of substantial future returns.
Prosecutors alleged that Scott used the $50 million obtained from OneCoin to finance a lavish lifestyle, indulging in luxury purchases including multimillion-dollar homes, high-end watches, sports cars, and even a 17-meter yacht.
In a related development, on September 12, Judge Ramos sentenced OneCoin’s co-founder, Karl Greenwood, to a 20-year prison term in the United States. Greenwood faced a litany of charges, including fraud and money laundering.
Meanwhile, Ruja Ignatov, the mastermind behind OneCoin, remains elusive since October 2017 and is currently listed on the Federal Bureau of Investigation’s Ten Most Wanted List.