Investigation Launched into Alleged Cryptocurrency Fraud Scheme Involving MEP
Judge José Luis Calama of the National Court has officially accepted the processing of three complaints against the investment platform Madeira Invest, whose leader, Álvaro Romillo, allegedly paid 100,000 euros to MEP Alvise Pérez connected to a purported pyramid scheme. According to a recent order accessed by Efe, the magistrate has acknowledged complaints from the consumer association Ances, the Association of Cryptocurrency Users, and the Association of Affected by Cryptocurrency Investments.
The Prosecutor's Office has expressed its support for investigating the operations of Madeira Invest. However, Judge Calama has rejected a request to forward the case to the Supreme Court concerning Alvise Pérez, stating that a well-reasoned exposition must first be submitted to justify investigating a protected position when indications of wrongdoing arise.
After a detailed examination of the allegations, Calama noted apparent evidence that could indicate a crime of fraud, with reported damages exceeding 11 million euros, a figure significantly above the 7 million threshold needed to fall under the jurisdiction of the National Court. This situation suggests the existence of a criminal network involving multiple shell companies, with international connections linked to addresses in countries including Portugal, the United States, the Dominican Republic, Estonia, and Albania, implying that the inquiry may require international letters rogatory.
Unfortunately, the number of affected individuals could potentially surpass 27,000, and while the current defrauded amount stands at 11 million euros, estimates indicate it could actually exceed 300 million euros in total.
Referencing Álvaro Pérez, it has been noted that he submitted a self-report to the State Attorney General's Office, admitting that he had provided 100,000 euros to the MEP from Se Acabó La Fiesta (SALF) to promote his investment platform. In light of this revelation, the Association of Cryptocurrency Users has expanded its lawsuit, requesting that the court abstain from progressing in favor of the Supreme Court due to Pérez's status as an MEP, which affords him protection.
Nevertheless, Judge Calama opined that such a request cannot be addressed without proper justification and a substantial exposition providing the necessary rationale for believing the Supreme Court is competent in this matter. It is insufficient to merely establish that a specific criminal act has been attributed to a protected position; a thorough evaluation of the facts is required to define both the objective and subjective scope of the case.
Álvaro Morillo, the founder of Madeira Invest, who is prominently known on social media as CriptoSpain, marketed himself as an expert in tax evasion, persuading nearly 30,000 individuals to join his private investment club. The club promised exorbitant returns of over 50% through various investments, including luxury watches, cars, and real estate. To join the scheme, participants were required to make an initial deposit of 2,000 euros, which was purportedly rewarded with bank transfers in cryptocurrencies.
The National Securities Market Commission (CNMV) had previously issued warnings in May 2023 about the risks associated with this investment platform, which has since ceased operations just weeks later.
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