Hengelo crypto trader arrested after alleged multi-million fraud
A controversial cryptocurrency trader from Hengelo, who is accused of losing millions of euros through speculative trading, was arrested this afternoon by police. The 24-year-old law student and promising football player allegedly defrauded nearly 300 individuals in a high-profile case that left many investors financially devastated, as reported by Oost Nieuws.
The suspect is now facing charges of fraud and embezzlement, with an estimated 1.5 to 4.5 million euros believed to have been lost in the scheme. Police have informed the victims of the arrest, according to sources at Oost Nieuws.
“We suspect that there was intent behind the actions of the individual,” said police spokesperson Chantal Westerhoff. The Hengelo resident’s arrest also included a search of his parents’ home, where he was living prior to the scandal becoming public.
The affair began almost exactly one year ago when the suspect, who had gained a reputation as a “crypto genius,” sent an email to nearly 300 clients through his brother. The email revealed that all of the invested funds, including his own, had been lost.
The trader had initially made significant profits, attracting many investors who entrusted him with their money. His clients included family, friends, and several regional footballers. The Hengeloer, known for his football talent, had been part of the HSC'21 team in Haaksbergen.
After the investment failure was exposed, a group of about 100 victims formed the Stichting Onderzoeks Collectief Hengelo, led by attorney Arjon Tieman from Damsté en Partners. In response to the arrest, association chairman Piet Rutgers said, “Officially, I haven’t been informed of the arrest yet, but I’ve heard about it through others. One of our board members texted that he received news from the police, and later tonight we’ll hold an online meeting about it. I can guess what it’s about.”
The trader reportedly went into hiding after his crypto business collapsed earlier this year, as multiple victims allegedly sought revenge. Authorities arranged for his temporary relocation to a secure location.
