Rashawn Russell Charged in Crypto Fraud

According to a recent Bloomberg article, Rashawn Russell, 27, a former Deutsche Bank investment banker, was arrested and accused by US prosecutors of defrauding multiple investors. Russell was charged with allegedly engaging in a Ponzi-like cryptocurrency fraud in which he falsely promised investors guaranteed returns.  He allegedly used the money for his own personal expenses, and to keep the alleged scheme alive. The US Attorney of Brooklyn, New York said that Rashawn Russell is charged with wire fraud and if he is convicted, could face up to 20 years in prison.

At his recent arraignment, Rashawn Russell pleaded not guilty through his lawyer. He was released on a $200,000 bond, and ordered to return to court on May 9. He is allegedly engaged in plea negotiations “that might negate the need for a trial.”

The US Attorney in Brooklyn, New York, stated that Russell “turned the demand for cryptocurrency investments into a scheme to defraud numerous investors in order to fund his lifestyle. This office will continue to aggressively pursue fraudsters perpetrating these schemes against investors in the digital asset markets.”

The Bloomberg article states that this case is one of the latest in the government’s crackdown on cryptocurrency fraud. According to the article, Rashawn Russell allegedly fabricated documents to string his clients along, sending one investor a screenshot of a bank balance of approximately $355,000 when it was really closer to $35,000. Russell allegedly promised returns, according to prosecutors, after three months of as much as 25%. The prosecutors claimed Russell lied to his clients about the status of their investments and when clients wanted their investments back, allegedly Russell never sent the money and fabricated a bank wire transfer confirmation to show the return of the funds.

According to the US prosecutors, Rashawn Russell worked for Deutsche Bank between 2018 and 2021. He allegedly solicited investments from friends, former classmates, former colleagues and claimed he had developed a successful strategy for trading altcoin, digital currencies other than Bitcoin, and had earned returns for his clients in excess of 100% over a three-month period.

If you’ve experienced investment losses due to the actions or recommendations of the former Deutsche Bank investment banker, Rashawn Russell, of Brooklyn, New York, contact Soreide Law Group and speak to an experienced securities lawyer at no cost regarding the possible recovery of your financial losses through a FINRA arbitration at:  888-760-6552.

Soreide Law Group works on a contingency fee basis, no fee to you if no recovery.  We represent our clients nationwide before FINRA.