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Former CEO of IcomTech, Marco Ochoa, has been handed a five-year prison sentence for his involvement in wire fraud, following a guilty plea for conspiracy.

In a recent ruling by Judge Jennifer Rochon in the United States District Court for the Southern District of New York, Ochoa was directed to forfeit $914,000 and commence serving his sentence by surrendering to authorities on March 19. Additionally, he will undergo two years of supervised release.

Ochoa’s guilty plea, entered in September, pertained to his role in a crypto-based Ponzi scheme orchestrated at IcomTech, where he served as CEO from 2018 to 2019.

The scheme involved IcomTech promising investors daily returns on their investment products, but failing to allow withdrawals. The Justice Department, which brought charges against Ochoa and other IcomTech executives in November 2022, highlighted Ochoa’s significant contribution to the scam’s operation and the resulting harm inflicted on victims.

David Carmona, the founder of IcomTech, also pleaded guilty to conspiracy to commit wire fraud in December 2023. While four other former executives involved in the case have entered various pleas, Ochoa is the first to face sentencing.

Ochoa’s case is emblematic of the increased scrutiny faced by individuals in the crypto industry by U.S. authorities. The legal proceedings underscore a broader crackdown on fraudulent activities within the cryptocurrency space, with notable figures like former FTX CEO Sam Bankman-Fried and former Binance CEO Changpeng Zhao also facing legal consequences for their involvement in unlawful activities.

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