Mining Scam. As the missing $ 100 million ICO Envion

In December, we wrote about the magic ICO Envion. The company was going to create mobile containers with mining farms within and Internet connection. To invest offered, and crazy over 160 percent per annum. In the end, after studying the details of the project deserve our commendation. As it turned out — not in vain.

What’s wrong with Envion

First recall the details. For investment of thousands of dollars the authors of the project promised 17 thousand profits within 5 years. During the same period, 50 thousand dollars turned into 885 thousand. A lot of interest immediately raise suspicions, but there are other issues.

Was the strange moments with the protection of caravans, repairs and the cost of transportation. In addition, doubts have caused the prospects for customs clearance upon entry to another country.

In six months the situation has changed dramatically. ICO brought the company $ 100 million, which was enough for the job. But now the project is suspended. The reason is proceedings of the chief Executive.

Envion CEO

The idea for road mining led by Michael Lacquer has teamed up with Matthias Westermann. In the past the last was a journalist and investor in the energy industry. The team was hoping that Mathias will take on administrative problems, while the founders will be engaged in technical issues.

In the result he was appointed CEO and given a 19% share of the company’s shares. The founders have combined 81 percent of the shares via a company Trado GmbH. Westerman, acted decisively. He insisted on the ability to dispose of the shares of developers to accelerate decision-making. Following this, he promised to give them back to Trado shortly before ICO.

Misdirection

Instead, Mathias went to the trick — CEO secretly issued new shares through a capital increase. After manipulating is 81% founders got only 33 percent. The majority of Westerman. About the same time, investors did not know.

Perhaps this is the first analog hacking ICO. The head possessed all the means of the initial placement of tokens without a single hacked wallet.

The event was commented Varnishes.

Envion AG belongs to the development team. Westerman, and van Aubel illegally took control of the company and violated the trust of investors. Our team has done everything to reassure depositors. Westerman, on the contrary, disappeared from sight.

As a result the company is unable to create the promised containers and to pay dividends to investors. Money hung in the air.

We are ready to create a product. The containers have come off the Assembly line, and we have to furnish their mining equipment. According to the plan, the team was going to pay dividends to investors now. Now we can’t do that because it involves the actions of Mr. Westerman. It’s not like he made any positive contribution to our business.

The developers filed a lawsuit against Westerman in an attempt to fix something. So they want to “finish with the chaos that provoked Westerman”.

By the way, not all were pleased with this answer and demanded proof of the filed claim.

Members of the team promised to share the documents later. The original text read here.

Summary and conclusions

It seems like not a bad project with an interesting idea turned into a Scam. Got some $ 100 million to developers who play rage and misunderstanding, is unknown. In any case, investors are left in limbo and no money. Not the fact that the containers once will go to mine cryptocurrency. The court can take years.

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