Michael Stollery, the CEO of Titanium Blockchain Infrastructure Service (TBIS), pleaded guilty in the case of a $21 million fraud. He was accused of misleading the investors in an initial coin offering (ICO) scheme.
By providing false information, Stollery was able to gather funds from investors in at least 18 different U.S. states, as well as non-U.S. countries. Moreover, he is also accused of failing to register the ICO with the U.S. Securities and Exchange Commission (SEC).
Stollery admitted to falsifying information, including the potential value of TBIS’ BAR token. He used the money obtained in the fraud to pay for his credit card bills, as well as bills for his Hawaii residence.
Stollery will be sentenced on November 18, 2022. He is facing up to 20 years behind bars.
The U.S. Department of Justice has been increasingly active in the realm of crypto. On Friday, we wrote about SEC’s first-ever crypto insider trading arrest.