IcomTech Ponzi Scheme: 8.4 Million Defrauded and 5 Million in Restitution

Five executives from IcomTech face historic sentences for defrauding investors with false crypto promises. The federal court in California has just ordered them to pay $5.1 million in restitution and fines.

The numbers of the scam

• $8.4 million defrauded between 2018-2019
• 2.8% daily return promised (total red number)
• $1.2 million in seized assets
• 10 years in prison for David Carmona (leader) and David Brend
• 5 years for Marco A. Ruiz Ochoa

How the scam worked

IcomTech sold the illusion of an automated crypto trading platform using a proprietary token called “Icoms.” Investors believed their funds were going into mining and trading. The reality: direct money to luxury trips, sports cars, and personal expenses.

The classic pattern that repeats

The CFTC investigated since 2023 following massive complaints. The case exposes a cycle that you constantly see in crypto scams:

1. Promises impossible returns ( 2.8% daily = 900% annually )
2. Convince early investors ( that they do receive something )
3. It asks you to recruit friends (network)
4. Collapses when new investments stop

Who was left without their money

Two more executives (Juan Arellano Parra and Moses Valdez) received fines and a permanent ban from activities regulated by the CFTC. But here is the bitter point: although $1.2 million was recovered, most victims will not see their money back.

The takeaway

If something promises 2.8% daily in crypto, it is not an investment. It is a tombstone with your name waiting. This ruling is legally satisfactory but too late for those who lost their savings.