Catenaa, Wednesday, April 09, 2025-Australia securities watchdog, the Australian Securities and Investments Commission (ASIC), has successfully shut down 95 companies linked to fraudulent crypto investment and romance scams.
The Federal Court approved the closure yesterday, April 8, 2025, after ASIC revealed that the firms were operating under false or misleading premises. Many of the companies were suspected of being involved in “pig butchering” schemes, where scammers cultivate fake relationships to lure victims into investing in fraudulent crypto platforms.
Justice Angus Stewart, who reviewed the case, described the evidence as “overwhelming” and expressed doubts about the management of the firms.
The ASIC investigation revealed that most of the companies were using deceptive tactics, including mimicking legitimate investment platforms to mislead victims.
Despite their seemingly credible facade, the firms had siphoned funds into accounts controlled by scammers.
The liquidation of these 95 firms follows a ruling earlier in March that examined 17 of the businesses, finding substantial links to fraudulent websites and mobile applications. The crackdown is part of ASIC’s broader effort to address crypto-related scams, with nearly 1,500 claims of victims from across 14 countries, including the US., India, and France, totaling over $35.8 million in reported losses.
ASIC continues to ramp up efforts, shutting down over 130 scam websites weekly, and recently targeted non-compliant crypto ATM operators as part of a broader crackdown on suspicious crypto activity.
