3 arrested in Egypt over virtual currency scam. Know more about crypto fraud

CAIRO – 13 April 2022: Trading using virtual currencies is a new method that has been introduced across the world more than two years ago.

But many users were defrauded and had their money seized via unsecured online financial processes.

 In Egypt, security authorities arrested three people in Dakahlia governorate over committing nine fraud cases by promoting and announcing accounts linked to an electronic game with a balance of virtual currencies in that game, whose users were able to make updates on it in exchange for sums of money.

These updates prompted those wishing to obtain it to communicate with them and transfer money to them through the e-wallet services.

The police seized three mobile phones that were in possession of the arrested people. By examining the phones, the authorities found evidence on their involvement in the fraud cases.

For his part, lawyer Muhammad Rashwan said that fraud can be defined in the law as “the appropriation of movable money owned by others using one of the fraudulent means stipulated in the law with the intention of owning it,” or “the appropriation of something owned, fraudulently with the intention of owning that thing,” or “ To seize the money of others by deception with the intention of owning it, or “to seize movable money owned by others, based on fraud with the intention of owning it.”

He added that trading in virtual currencies falls under the crimes of fraud and the seizure of funds. The crime of fraud is one of the crimes that represent an assault on property because the offender aims by using fraudulent methods to seize all or some of the money of others, and this leads the victim to surrender his money by the influence of these fraudulent methods.

Article 336 of Egypt’s Penal Code stipulates that: “Anyone who manages to seize money, offers, debt bonds, clearance bonds, or any movable belongings by fraud to steal all or some of the wealth of others is punishable by imprisonment, either by using fraudulent methods that lead people to believe that there is a false project or a forged incident or the hope of obtaining an imaginary profit or payment of the amount that was taken fraudulently, or their delusion of the existence of an incorrect debt deed or a forged clearance deed, either by disposing of fixed or movable money that does not belong to him and he has no right to dispose of it, or by taking a false name or description Incorrect. As for whoever attempts to commit fraud and does not complete it, he shall be punished by imprisonment for a period not exceeding one year. The offender may be made in the event of recurrence under police observation for a period of at least one year and two years at most.