Moshe Hogeg, a prominent Israeli businessman and owner of Beitar Jerusalem FC, is accused of stealing, laundering, and misusing millions of dollars from investors in four crypto projects. He also faces charges of sexual offenses against women.
Moshe Hogeg, a well-known figure in the Israeli crypto scene and the owner of the Beitar Jerusalem soccer club, is facing criminal charges for his alleged involvement in a massive fraud scheme that duped thousands of investors out of $290 million.
Hogeg is also suspected of committing sexual offenses against several women, some of whom were minors.
The crypto fraud scheme
Hogeg’s activity in the crypto market peaked in 2017 and 2018 when he launched four initial coin offerings (ICOs) for his companies: Sirin Labs, Stx Technologies Limited, Leadcoin, and Alignment Blockchain Hub.
He claimed that these projects would offer innovative solutions for blockchain-based smartphones, decentralized storage, lead generation, and social impact.
However, according to the police investigation, these projects were never implemented or delivered on their promises. Instead, Hogeg used the funds he raised from investors to finance his lavish lifestyle and other business interests.
He bought a soccer club, a luxury villa, a Ferrari, and several other properties and assets with the money he stole from his victims.
The police investigation into Hogeg’s alleged crimes began in 2021 after several complaints were filed against him by investors and former partners.
The police questioned over 180 people and gathered 900 pieces of evidence from various countries. They also seized properties and cash belonging to Hogeg and his associates.
Seven other suspects were arrested along with Hogeg in November 2021, but they were released to house arrest a month later. On Tuesday, Hogeg was rearrested for failing to pay his bail bond of NIS 10 million ($2.9 million).
The police have recommended charging him and his co-defendants with multiple offenses, including theft, money laundering, fraud, tax violations, forgery of corporate documents, and sexual offenses.
Hogeg’s lawyers have denied the allegations against him and said he is cooperating fully with the investigators.
History of lawsuits and allegations against Hogeg
This is not the first time that Hogeg has faced legal troubles for his business ventures.
He has been sued several times since 2018, both in the US and in Israel, for allegedly misleading and defrauding investors and partners in various projects involving digital currencies, dummy companies, and a $1,000 blockchain smartphone that never made it to market.
The Crypto Tycoon has also been accused of sexually assaulting women on multiple occasions.
Earlier this month, a well-known model said that Hogeg sexually assaulted her when she was 17 years ago. She said he entered her hotel room and tried to force himself on her, but she managed to fend him off.
Hogeg denied the accusation and said the sexual interaction was consensual.
He also allegedly violated the privacy of several women by secretly filming them during sexual acts and sharing the videos with others.
He is suspected of committing sodomy, human trafficking, prostitution involving minors, and running a place of prostitution.
Hogeg’s case has shocked the Israeli public and raised concerns about the country’s crypto industry’s regulation and oversight. It has also exposed the dark side of a man who was once celebrated as an entrepreneur and investor.
