Former Heartland Bank CEO gets 24 years after putting bank funds into crypto
Shan Hanes received a 24-year prison sentence for embezzling $47.1 million into a crypto scam. Roman Ziemian was arrested for a pyramid scheme, while Twitch streamer DNP3 pleaded guilty to wire fraud.
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Shan Hanes, the former CEO of Heartland Tri-State Bank in Kansas, has been sentenced to 24 years and 5 months in prison for embezzlement after he transferred $47.1 million of the bank's funds into a fraudulent cryptocurrency scheme known as a "pig butchering" scam. This scheme led to the bank's collapse, resulting in significant financial losses for equity investors and the Federal Deposit Insurance Corporation (FDIC). Hanes also misappropriated funds from a local church and his daughter's college savings, believing he could unlock returns by investing more money as instructed by the scammers. In a separate case, Roman Ziemian, co-founder of the FutureNet crypto pyramid scheme, was arrested in Montenegro after evading authorities. FutureNet allegedly defrauded investors of $21 million. Additionally, Twitch streamer Austin "DNP3" Taylor pleaded guilty to wire fraud for gambling away $1.14 million in investor funds from his crypto project. Other notable incidents include a $100,000 loss to a scammer impersonating Coinbase support and the SEC's lawsuit against promoters of the NovaTech pyramid scheme. The ongoing issues in the cryptocurrency space highlight the risks associated with scams and fraudulent schemes.
- Shan Hanes sentenced to over 24 years for embezzling bank funds into a crypto scam.
- Roman Ziemian arrested for his role in the FutureNet pyramid scheme.
- Twitch streamer DNP3 pleads guilty to wire fraud after misusing investor funds.
- A Coinbase user lost $100,000 to a scammer posing as customer support.
- SEC files lawsuit against promoters of the NovaTech crypto pyramid scheme.
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Former Kansas bank CEO admits to embezzling $47M for crypto scheme
Former Heartland Tri-State Bank CEO Shan Hanes pleaded guilty to embezzling $47 million for a cryptocurrency scheme, facing up to 30 years in prison, a $1 million fine, and $60.5 million restitution.
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Crypto 'pig butchering' scam wrecks bank, sends ex-CEO to prison for 24 years
Shan Hanes, former CEO of Heartland Tri-State Bank, was sentenced to over 24 years for embezzling $47 million, leading to the bank's collapse and significant financial losses for victims.
Ex-bank CEO gets 24 years after falling for crypto scam, causing bank collapse
Shan Hanes, a former bank CEO, was sentenced to over 24 years for embezzling $47 million linked to a cryptocurrency scam, causing Heartland Tri-State Bank's collapse and significant investor losses.
5 comments Between May and July of 2023, Hanes transferred $47.1 million of the bank's funds to the fraudulent scheme. This ultimately led to the bank collapsing, with equity investors losing $9 million and the FDIC footing the bill. "There were people who lost 70, 80% of their retirement" as a result of their investment losses, stated a community member.
If the bank compliance controls were so bad he could sneak off with that much, he probably could have just squirreled away a couple of million without anybody noticing.
It’s not functionally any different from if the money was lost due to him embezzling and putting it into madoff’s fund or Enron, etc
I’d add an additional note though: bro was a bank CEO yet fell for a blazingly obvious scam, so it seems like the people who put him there should have to answer questions about their approach to ensuring he was competent for the position.
He got 24 years for embezzlement. He did not put any money in crypto, he sent it to scammers who led him to believe it was being invested in crypto.
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Ex-Billionaire Gets 7 1/2-Year Sentence for Defrauding Investors Goldman, Google
A former Chicago billionaire, Rishi Shah, sentenced to 7.5 years for defrauding investors in a $1 billion scheme at Outcome Health. Outcome executives convicted of fraud and money laundering. Deceptive practices condemned.
Former Kansas bank CEO admits to embezzling $47M for crypto scheme
Former Heartland Tri-State Bank CEO Shan Hanes pleaded guilty to embezzling $47 million for a cryptocurrency scheme, facing up to 30 years in prison, a $1 million fine, and $60.5 million restitution.
Web3 Is Going Just Great
Recent cryptocurrency developments include CFTC's investigation of Hit Network for fraud, Kujira's $2 million loss, ConvergenceFi's $210,000 hack, ZKX's shutdown amid accusations, and DraftKings ending its NFT project.
Crypto 'pig butchering' scam wrecks bank, sends ex-CEO to prison for 24 years
Shan Hanes, former CEO of Heartland Tri-State Bank, was sentenced to over 24 years for embezzling $47 million, leading to the bank's collapse and significant financial losses for victims.
Ex-bank CEO gets 24 years after falling for crypto scam, causing bank collapse
Shan Hanes, a former bank CEO, was sentenced to over 24 years for embezzling $47 million linked to a cryptocurrency scam, causing Heartland Tri-State Bank's collapse and significant investor losses.