Three people are out on bond after being arrested in Zambia for taking money from investors for bitcoins (BTC) they never intended to provide.
The three arrested by the Drug Enforcement Commission’s anti-money laundering unit are directors of cryptocurrency investment firm Heritage Coin Resources Limited, according to local publication Zambian Watchdog. They allegedly collected more than 28 million Zambian kwacha (approximately $2.4 million) from prospective investors.
What makes this arrest more interesting is it comes less than a month after Zambia’s central bank said cryptocurrencies are not legal tender in the country, according to CCN.
The three are charged with money laundering as well as taking money under false pretenses, conducting a money circulation scheme and operating an unlicensed financial business between June and mid-October.