John McAfee is being sued by the Securities and Exchange Commission, was indicted by the Department of Justice,and subsequently arrested in Spain over allegations of tax evasion. The American businessman is now awaiting extradition to the United States, where he will face a trial.
John McAfee is known by many names: computer programmer, eccentric businessman, antivirus software magnate (duh), flamboyant millionaire, and more recently cryptocurrency enthusiast…er…advocate among others. He now has to carry the burden of being allegedly labelled a fraud as well. Yesterday, McAfee was indicted by the Department of Justice (DoJ) for financial fraud amounting to tax evasion and willful failure to file tax returns.Â
McAfee, who ran (and lost) as the Libertarian presidential candidate for the 2020 presidential elections, was arrested in Spain today following the unsealing of his indictmentOpens a new window . The American national is awaiting extradition to the United States where he will likely appear before a U.S. court for allegedly evading tax for his earnings between 2014 and 2018.
A press release by the DoJ states that McAfee earned “millions in income from promoting cryptocurrencies, consulting work, speaking engagements, and selling the rights to his life story for a documentary. From 2014 to 2018, McAfee allegedly failed to file tax returns, despite receiving considerable income from these sources.â€
McAfee is accused of failing to file tax returns for promoting cryptocurrencies offerings, speaking engagements, and selling the rights to his life story for a documentary. He copped out of paying taxes by accepting payments in bank accounts, cryptocurrency exchange accounts, which he hid from the Internal Revenue Service (IRS). He also failed to mention ownership of real estate properties, a yacht, etc., all of which were registered under the name of nominees.
See Also: Former NS8 CEO Adam Rogas Arrested & Charged With Securities Fraud
The exact number is provided by the U.S. Securities and Exchange Commission which also filed a suit against McAfee. Apparently, McAfee earned $23.1 million from recommending/promoting at least seven initial coin offerings (ICOs) over Twitter. According to reports, McAfee commanded more than $100,000 per tweetOpens a new window to promote ICOs. “McAfee was paid bitcoin (BTC) and ether (ETH) worth more than $11.6 million, plus an additional $11.5 million worth of promoted tokens, as undisclosed compensation for his promotions of seven ICOs,†reads the SEC’s complaintOpens a new window . All offerings remain undisclosed.
Tomorrow I will announce the ICO of the week. My staff and I have scoured dozens of ICOs. In case we missed yours and you would like your company’s ICO to be considered, send white paper and ICO website to [email protected].
And for short termers: Coin still coming.
— John McAfee (@officialmcafee) December 31, 2017Opens a new window
Later, McAfee even denounced ICOs, but it seems the damage had already been done.Â
Due to SEC threats, I am no longer working with ICOs nor am I recommending them, and those doing ICOs can all look forward to arrest. It is unjust but it is reality. I am writing an article on an equivalent alternative to ICOs which the SEC cannot touch. Please have Patience.
— John McAfee (@officialmcafee) June 19, 2018Opens a new window
McAfee’s rise to prominence, and to some extent, fame, started with his role as the founder of McAfee Associates, that pioneered commercializing antivirus software. If proven guilty, the former software mogul could serve a maximum of five years in prison on each count of tax evasion and a maximum sentence of one year in prison on each count of willful failure to file a tax return.Â
McAfee’s previous encounters with law enforcement include his alleged involvement in a murder case in Belize for which he is liable, if not guiltyOpens a new window . He was also detained for possessing firearms & ammunitionOpens a new window while sailing into the Dominican Republic.Â
DoJ’s release specified that the security software company McAfee has no connection to John McAfee.
Let us know if you liked this news on LinkedInOpens a new window , TwitterOpens a new window , or FacebookOpens a new window . We would love to hear from you!