US Trustee Program Wins Judgment Against Crypto Ponzi Operator
The US Trustee Program (USTP), part of the Department of Justice, won a judgment against Nathan Fuller. Fuller hid assets and lied in his bankruptcy case to avoid paying creditors. His victims include investors in a $12.5 million cryptocurrency Ponzi scheme.
Fuller ran Privvy Investments, a fake crypto investment company. He used investor funds to buy luxury goods, go on gambling trips, and purchase an expensive home. The court found that Fuller fabricated documents about his assets.
U.S. Trustee Kevin Epstein of Region 7 said, “Fraudsters seeking to whitewash their schemes will not find sanctuary in bankruptcy. The USTP remains vigilant for cases filed by dishonest debtors, who threaten the integrity of the bankruptcy system.”
Details of Nathan Fuller’s Bankruptcy Case
In October last year, Fuller filed for Chapter 7 bankruptcy. This followed a receiver’s appointment to seize his assets in a Texas state court lawsuit brought by investors. The USTP’s Houston office filed a complaint against Fuller. They accused him of hiding assets, failing to keep records, and making false oaths in his bankruptcy filings.
Fuller admitted to running Privvy as a Ponzi scheme. He also confessed to fabricating documents to support the scheme. After being found in civil contempt for ignoring court orders, Fuller admitted lying under oath. He said he created fake bankruptcy papers to obstruct the chapter 7 trustee.
Judgment and Liability
Fuller did not respond to the USTP’s complaint, leading to a default judgment against him. The court ruled that Fuller owes more than $12.5 million. Creditors can continue efforts to recover their funds.
