The CEO of cryptocurrency firm AriseBank was arrested by the Federal Bureau of Investigation on charges of defrauding hundreds of investors out of over $4 million.
According to a press release from the U.S. Attorney’s Office for the Northern District of Texas, CEO Jared Rice Sr., was previously the subject of a civil action filed by the Securities and Exchange Commission in Texas in February. Rice was indicted on three counts of securities fraud and three counts of wire fraud for the same cryptocurrency scheme.
You can read the court documents for details of Rice’s AriseBank scheme. Here’s one nugget: Rice is alleged to have falsely claimed the initial coin offering for AriseBank’s AriseCoin token had raised $600 million within weeks. Read more here.