Titanium CEO Pleas Guilty to Operating Crypto Fraud Scheme Worth $21 Million

The CEO of Titanium Blockchain Infrastructure services pleaded guilty today in court for his job operating a crypto fraud scheme with Titanium's ICO, which stole $21 million from investors. According to a US DOJ report, Michael Alan Stollery, CEO and founder of TBIS, lured investors into making uninformed investments in "BARs," the crypto offered by TBIS's ICO, "through a series of false and misleading statements."

He also admitted to offering the ICO without registering with the SEC or holding a valid exemption. 

In his guilty plea, according to the DOJ article, Strollery admitted to having "falsified aspects of TBIS's white papers, which purportedly offered investors and prospective investors an explanation of the cryptocurrency investment offering, including the purpose and technology behind the offering, how the offering was different from other cryptocurrency opportunities, and the prospects for the offering's profitability."

The bad news continues with Strolley confessing to creating false testimonials regarding the website, having "relationships" with the federal reserve and other major industry players, and using investor money to fund his lavish lifestyle. Investors' funds were used to pay a wide range of personal expenses, including credit card bills and mortgage payments for his Hawaiian Condo.

Strolley's guilty plea to 1 count of securities fraud could land him up to 20 years in Federal Prison. His court date is set for November 18th.

Author: Garrett Meifert

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