On Tuesday, August 23rd, police raided Philip Han’s luxury condo in Sao Paolo at 5 a.m.
According to Estadio (paywall), Han and his wife Carla Moreira Han are accused of
financial pyramiding and money laundering through asset managers who operate throughout the country without a license
I believe the charges are equivalent to wire fraud and securities fraud in Brazil.
Authorities in Sao Paulo accuse Han of participating in six MLM Ponzi schemes over nine years, including WCM777, Mr. Link, iFreex, FX Trading Corp, F2 Trading Corp, and MyHash.
Han’s previous scam, My Hash, failed in early to mid-2021.
According to the investigators, these companies’ journeys invariably ended with investors filing police reports because they perceived themselves to be victims of embezzlement.
Brazil’s criminal investigation into Han is said to have started in 2019. In 2020, a judge in Sao Paulo barred prosecutors from bringing a case against Han, citing “inconsistencies” in the evidence presented.
The evidence attached to the case file was insufficient to establish that those responsible for the investigated companies formed a criminal organization or that the conduct was substantiated by money laundering techniques.
I’m not sure what evidence was presented, but that’s a major blunder by Brazilian authorities.
In any case, it appears that police continued to investigate Han, leading to the Tuesday raid.
Han, as far as I know, has yet to be arrested. Estadao’s attempts to reach Han and his wife for comment were futile.