U.S. Secret Service Seizes $1.5 Million from Nigerian Fraud Syndicate’s Binance Account
The U.S. Secret Service has seized $1.5 million in cryptocurrency from the Binance account of Nigerian fraudster Avwerosuo Omokri, following an extensive investigation into an online investment scam that defrauded multiple victims through fraudulent trading platforms.
The operation, spearheaded by Special Agent Katrina Caulfield, uncovered a sophisticated internet fraud syndicate that lured unsuspecting investors into fake trading schemes, ultimately swindling them out of significant sums under the guise of high-yield returns. Court filings obtained by Peoples Gazette reveal that the U.S. Secret Service has initiated forfeiture proceedings against the seized funds, establishing their connection to wire fraud and money laundering.
The Fraudulent Investment Scam
The case came to light in March 2024, when a Massachusetts resident, identified as Victim 1, reported losing 1.33272285 BTC in an elaborate cryptocurrency scam. She had been drawn into a Facebook group named Financial Independence Forum, which promised members financial security and early retirement through so-called “reliable investment opportunities.”
Among the group’s administrators was an individual named Tom Sheldon Haley, who presented himself as an expert in online trading. After developing trust with Victim 1 through frequent Facebook Messenger conversations, Haley convinced her to invest in a platform called Trade Propel.
On March 13, 2024, she transferred 1.3 BTC from her Coinbase account to a wallet provided by the group. Initially, her Trade Propel account showed an increase in value, but when she attempted to withdraw funds, she was informed she had to pay a “tax on earnings” before any transactions could be completed—a classic scam tactic used to extort more money from victims.
Special Agent Caulfield highlighted this fraudulent strategy, stating, “Based on my training and experience, scammers often attempt to extract additional funds by instructing victims to pay ‘taxes’ before they can withdraw their investments.”
A review of the Trade Propel website further exposed its fraudulent nature. It contained no verifiable company information or policies and falsely claimed affiliations with prominent hedge fund billionaires George Soros, Paul Tudor Jones, and Ray Dalio. The website also misrepresented itself as a registered member of the Financial Industry Regulatory Authority (FINRA) and the Securities Investor Protection Corporation (SIPC).
Tracing the Money Trail
Following the victim’s complaint, the Secret Service traced the stolen funds, revealing that the scam operators quickly funneled the cryptocurrency through multiple intermediary wallets to obscure its origins before transferring it to a final wallet address ending in -HKbIS.
“Intermediary wallets are often used by fraudsters to disguise and clean illicit money trails on the blockchain, making it difficult for authorities to track transactions,” Caulfield explained. Despite these obfuscation tactics, investigators successfully identified the destination wallet linked to a Binance user ID ending in XXXXX3280.
Records from Binance confirmed that the account was registered to Avwerosuo Omokri, a Nigerian passport holder, using the email address johnrichie513@gmail.com. Additional records from Coinbase further exposed multiple victims who had been scammed through the same scheme. Victim 2 lost $29,000, while Victim 3 was defrauded of $35,000. A fourth victim was instructed to send funds to a different intermediary wallet.
Organized Cyber Fraud Syndicate
Investigations revealed that the Tom Sheldon Haley Facebook account was not operated by a single individual but by an organized cyber fraud syndicate. Low-ranking members of the syndicate were responsible for approaching victims through social media platforms like Facebook and LinkedIn, while higher-level fraudsters managed the back-end operations, receiving and concealing illicit funds.
Binance’s records further showed that Omokri’s syndicate used at least four different devices to access the fraudulent wallets, indicating a coordinated and structured criminal network.
Forfeiture of Illicit Funds
On February 16, 2025, Special Agent Caulfield officially filed for a forfeiture in rem of the seized $1.5 million, citing conclusive evidence that the funds were derived from wire fraud and money laundering activities.
The confiscated digital assets include:
7.23918814 BTC
105.75351403 ETH
636.11899592 AVAX
14,120.995091 USDT
2,380,467,906.17 SHIB
319,008,151.01 PEPE
The case underscores the increasing sophistication of online fraud schemes and the ongoing efforts by U.S. authorities to combat financial crimes in the cryptocurrency space. The investigation remains active, with further legal proceedings expected against Omokri and his associates.
Reference
U.S. Secret Service Seizes $1.5 Million from Nigerian Fraud Syndicate’s Binance Account