In the aftermath of the ban of the Binary Options, this huge fraud scene will be dealt with by the investigating authorities in many countries. First and foremost, the US FBI is conducting intensive investigations to get hold of the Binary Options fraud artists. The Safemarkets platform may serve as a reference case for large-scale, globally executed and Israel-controlled cybercrime case in this context.
In recent days, the discussion about binary option fraud safemarkets.com here on FinTelegram has become more intense. Comments have been exchanged by some defrauded investors and interested parties. Others contacted us via email and asked for support and additional information.
In the meantime, we have actually been able to continue our research and gather some more information about safemarkets. To further the public discussion and investigations, we share our information with our readers. The platform safemarkets.com is a white label brand of Tradologic and is run by the well-known Israeli fraud artist Gal Barak and his boiler room service partners. He is not only involved in safemarkets.com, but also in numerous other binary option projects around the leading binary options platform Tradologic. Moreover, Barak seems to be closely connected with the founder of the public-listed UK-company VELTYCO, the German Uwe LENHOFF.
According to the information available to us, this Gal Barak has left Israel and is currently either in Bulgaria or in the United States. There he has an equally notorious business partner and friend, the Russian-born Israeli citizen Gery Shalon. This guy was sentenced to several years in prison for the USD 80 million hacking of the US bank JP Morgen and released for a fine of USD 403 million. The US magazine Fortune has recently conjectured that Shalon is now cooperating with the US authorities. There have also been rumors that Shalon and his colleagues had or still have connections with the Russian secret service.
Gery Shalon‘s traces lead to a worldwide network of well-known cyber-criminals. Here is a recent article in The Times of Israel about the international hacker network. Shalon is said to have coordinated the legendary hacker attack on JP Morgan a few years ago. Sharon has been sentenced to jail and a USD 403 million fine payment. Purportedly, Shalon now cooperates with the US Attorney General’s Office and reveals his accomplices. This led to the arrest of Russian Andrei Tyurin in Georgia and his recent extradition to the US. Shalon is also no stranger in the world of cryptocurrencies. He is said to have been the beneficial owner of the now-closed illegal crypto-exchange coin.mx. Anthony Murgio, one of the operators of coin.mx, was sentenced to several years in prison in the summer of 2017. He is also said to have operated a worldwide money laundering network using cryptocurrencies.
Just recently, we received a court file stating that Shalon and Smirnov, as part of an investor group, had financed the American cyber-defense startups Gladius Network LLC. The company had successfully carried out an Initial Coin Offering (ICO) and received several million dollars from crypto-investors. Gladius Network LLC has now filed a lawsuit against this group of investors in the United States. The lawsuit documents contain interesting details with further traces into the cybercrime network of Gery Shalon.
Shalon is certainly one of the great crypto artists. A newspaper called him Tony Soprano of the cybercrime scene. He also is connected with the Russian Vladislav Smirnov (formerly known as Vladislav Khokholkov and as such involved in cybercrime). This Smirnov is also responsible for the payment platform Dreams Pay which is involved in many binary options scams.
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Together with our Israeli partner Wealth Recovery International (WRI) and investigating authorities, we have researched further details on the persons involved and their network and are preparing a further report with details in this regard. In addition, together with lawyers and WRI, we will shortly launch a funds recovery initiative for cheated investors. Knowing the people behind fraudulent schemes is the key to recover funds for investors.
Also published on Medium.