GS Partners Accused of Defrauding Crypto Investors in Metaverse Schemes
Two individuals associated with GGS Partners, a cryptocurrency investment firm based in the United Kingdom, have been accused of defrauding investors and misusing funds in a series of metaverse-related schemes.
According to a lawsuit filed in the United Kingdom High Court, GGS Partners was found to have fraudulently acquired funds from investors, which were then used to purchase virtual assets such as NFTs, which it later sold for a profit without the investors’ knowledge or authorization.
The lawsuit also alleges that GGS Partners and its associated parties manipulated the market and manipulated prices of virtual assets to improve their own financial positions. In addition, it has also been alleged that GGS Partners distributed false and misleading information to potential investors and incorporated funds from investors without authorisation.
This comes as the UK Financial Conduct Authority (FCA) is investigating GGS Partners for possible violations of financial regulations. The lawsuit states that the FCA initiated a review of the company in April 2021, and the case has since been referred to the UK Serious Fraud Office.
GGS Partners has not publicly commented on the lawsuit, and the two parties named in the suit have not been publicly identified.