At any point of the digital transition,…
Tuesday, October 6, 2020 – 12:41 GMT
Only one week after McAfee submitted its listing application, the founder was arrested.
He was accused of promoting false and misleading “almost worthless” cryptocurrency products and getting high rewards, but it was not disclosed, and for several years. No tax returns.
The world’s largest professional security technology company McAfee (McAfee) was waiting for regulatory approval when the company’s founder was accidentally arrested.
John McAfee, known to others as the ‘father of anti-virus tech,’ was arrested in Spain on charges of tax evasion and bribery today (October 6) and is reportedly facing extradition to the United States.
Yesterday, the US Securities and Exchange Commission (SEC) took the lead in bringing a civil case against John McAfee, and eventually, felony charges were brought by the US Department of Justice.
Today, an indictment against him was read out by US federal prosecutors, accusing him of tax avoidance, bribery, and intentional failure to file tax returns.
John McAfee was suspected by the SEC of recommending seven Twitter cryptocurrency goods, and these items are essentially inaccurate and deceptive. It also reported that through this activity, John McAfee obtained $23.1 million, but he did not publicly reveal it. Yet he preferred to hide it purposely.
The SEC reported that McAfee offered to sell “almost worthless” tokens, but did not announce its resources , allowing investors to purchase them.
The SEC states that John McAfee was compensated from at least November 2017 to February 2018 by endorsing virtual currency items (more specifically, endorsing token ICOs), but dishonestly denied the existence of these revenues.
“McAfee, with the help of bodyguard Watson, used its credibility to market a vast amount of crypto-currency items to its Twitter followers without informing consumers that it is a paid promoter,” said Kristina Littman, head of the SEC network group.
John McAfee made millions of dollars in sales, according to the Department of Justice indictment, by marketing bitcoin, consultancy jobs, singing, and selling the copyright of his video “Life Tale.” John McAfee did not file any tax returns from 2014 to 2018, amid such high revenues.
The prosecutors have argued that, on behalf of others, John McAfee used bank and cryptocurrency accounts, and often kept properties on behalf of others, including a yacht, to avoid paying taxes.
It is worth noting that last July, John McAfee said in an interview with Agence France-Presse in Cuba: “For 8 years, I have not paid taxes. I can no longer pay taxes. This is immoral and unlawful.”
The SEC is trying to enforce John McAfee civil fines and recover unlawful revenue and interest. The agency also hopes to indefinitely bar him from acting as the executive or director of any company listed or any company reporting to the organization.
According to local reports, McAfee faces five tax avoidance charges, each with a maximum sentence of 5 years in jail, and five counts of ‘intentional non-reporting of income,’ each with a maximum punishment of 1 year in prison, according to the US Department of Justice indictment.
McAfee, an anti-virus tech firm founded by John McAfee, is at a crucial juncture when it comes to going public. If his detention would effect the listing process of the firm is not clear.
The Department of Justice, however, made it known that the claims are limited to people from McAfee and that no link has been established with the “anti-virus corporation named after him.”
McAfee filed a registration submission for registration on the Nasdaq exchange under the term ‘MCFE’ at the end of September.
In fiscal year 2019 , the company had a net loss of US$ 236 million, and a 26-week net profit of US$ 31 million from 2020 to June 27. It should be remembered that McAfee has suggested that after the IPO it has no intention of paying dividends.
John McAfee, 75, has a mixed blockchain background and is one of the field’s most fanatical supporters.
In different times, he also advocates blockchain, stressing the importance of accepting cryptocurrencies. Two years earlier, he also said that by 2020, Bitcoin would grow to 1 million US dollars. In April of this year, he also said that the legal currency may crash within a month.
Obviously, the life of the antivirus tech founder was distinguished from that of his colleagues. This man has been drinking beer, fornication, substance addiction, and drug dealing in the past half a century. He had been infected by some, had been pursued by foreign authorities, and had escaped all over the world. In several times, he even announced he would run in the US presidential race. John McAfee tweeted in August of this year that he was arrested in Norway for wearing women’s panties and masks.