Eugene William Austin Jr. from Long Island has been sentenced to 18 years for orchestrating a $12 million crypto scam alongside his son, Brandon. The court ordered him to repay the defrauded amount and forfeit assets, including a luxury car. Over 24 victims, many family and friends, were misled by their false investment promises before the scheme collapsed.
Eugene William Austin Jr., a 62-year-old from Long Island, has been sentenced to 18 years in prison after being found guilty in a scam that defrauded over 24 victims of approximately $12 million. Austin, also known as Hugh Austin, operated with his son Brandon, misleading investors by posing as cryptocurrency brokers who promised exorbitant returns on their investments. This malicious scheme caused significant financial losses to all individuals involved.
The court has ordered Austin not only to serve time but also to repay a staggering $12.66 million, in addition to forfeiting over $6 million. On top of that, he’s required to surrender his luxury 2022 Jaguar SUV, which was linked to his fraudulent activities. This entire operation was characterized by a blatant misuse of funds, leaving victims in dire straits.
Austin and his son portrayed themselves as crypto middlemen, claiming they could facilitate large transactions and generate high profits for investors. They spruced up their scheme with bold assertions of having connections to wealthy investors who could back new businesses. In a particularly audacious maneuver, one of their fake deals brought in $5 million, with other deals netting around $500,000.
Ultimately, the scam ensnared family members and friends among the 24 victims. Instead of following through with investments, the Austins squandered the money on luxurious indulgences, including stays at five-star hotels, fine dining experiences, high-end shopping sprees, and flashy car rentals. Small repayments were made to certain victims, a tactic used to perpetuate the fraud.
In addition to his prison time, Austin will have to return over $12 million to the victims, and his son Brandon has already been sentenced to four years in prison. The Department of Justice has reported that every single investor ended up with empty pockets due to this deception, highlighting the extensive damage caused by the scam.
