The Department of Justice (DOJ) has indicted Roger Ver, a prominent early Bitcoin investor known as “Bitcoin Jesus,” on charges of mail fraud, tax evasion, and filing false tax returns. Ver was arrested over the weekend in Spain on these criminal charges, and the United States intends to request his extradition to stand trial.
Just in: 🇺🇸 US Department of Justice makes early arrest #Bitcoin Investor Roger Ver is accused of tax evasion pic.twitter.com/KdShrow0PS
— Bitcoin Magazine (@BitcoinMagazine) April 30, 2024
The indictment alleges that Ver, formerly of Santa Clara, California, owned and operated MemoryDealers.com Inc. and Agilestar.com Inc., both of which were involved in selling computer and networking equipment. Starting in 2011, Ver began acquiring bitcoins for himself and his companies, and had amassed a large sum by 2014, totaling approximately 131,000 bitcoins worth approximately $240 million.
Ver then naturalized in St. Kitts and Nevis in 2014 and renounced his US citizenship shortly thereafter, in a process known as expatriation. The action subjected him to US tax laws, including reporting capital gains from the sale of his assets worldwide, including bitcoins, and paying an “exit tax” on those gains.
the Indictment Ver allegedly provided false or misleading information to a law firm and appraiser, and concealed the true number of bitcoins owned by him and his companies. This resulted in the preparation and filing of false tax returns that significantly understated the value of the companies and their Bitcoin holdings.
As of 2017, Ver's companies still held about 70,000 bitcoins, which he allegedly sold on cryptocurrency exchanges for about $240 million. Although he was not a US citizen at the time, Fair was still legally obligated to report to the IRS and pay taxes on certain distributions, which he allegedly failed to do, causing a loss to the IRS estimated at more than $48 million. , as stated in the indictment.
Acting Deputy Assistant Attorney General Stuart M. Goldberg and U.S. Attorney Martin Estrada announced the charges, and the case is being handled by the IRS Cybercrime Unit. An indictment is a prosecution, and all defendants are presumed innocent until proven guilty in court.