Former Lobbyist Jack Abramoff Avoids Prison Due to Cancer Diagnosis in AML Bitcoin Fraud Case
Former lobbyist Jack Abramoff received three years of federal probation and was ordered to pay $2.2 million in restitution for his involvement in the AML Bitcoin fraud scheme. He avoided prison time due to his guilty plea, cooperation against co-defendant Marcus Andrade, and a supportive cancer diagnosis.
Abramoff and AML Bitcoin CEO Marcus Andrade were charged in 2020 over a $5 million initial coin offering (ICO). The proceeds were allegedly spent on personal expenses, including the purchase of two Texas properties.
Both defendants falsely claimed that AML Bitcoin had pending government contracts and that a commercial would air during the 2018 Super Bowl. However, the Department of Justice (DOJ) stated that the advertisement was never funded, never aired, and was not reviewed or rejected by the network or the NFL. Additionally, the NAC Foundation did not have funds to purchase advertising time for the Super Bowl spot.
The DOJ also indicated that the project’s claims about biometric technology preventing money laundering and anonymous use were false.
In July, Andrade was sentenced to seven years in prison. Abramoff is best known outside of the cryptocurrency realm for a 2006 tribal casino lobbying scandal, for which he previously served four years in prison.
