Crypto Entrepreneur Convicted in AML Bitcoin Fraud Case

A federal jury in California has convicted Rowland Marcus Andrade, the founder of AML Bitcoin, on charges of wire fraud and money laundering linked to a 2017–2018 initial coin offering (ICO). Prosecutors say Andrade misled investors, falsely claiming AML Bitcoin tokens would convert into a tradeable cryptocurrency—an asset that never materialized.

The U.S. Department of Justice (DOJ) revealed Andrade diverted over $2 million from token sales for personal expenses, including luxury cars and Texas properties. He also allegedly fabricated claims about a partnership with the Panama Canal Authority, which never existed.

This conviction concludes one of the longest-running crypto fraud cases. Among those implicated was D.C. lobbyist Jack Abramoff, who pleaded guilty in 2020 and paid over $50,000 in disgorgement and interest. Abramoff, previously convicted in a major corruption scandal, was the subject of the film Casino Jack.

Acting U.S. Attorney Patrick D. Robbins emphasized that fraudulent fundraising tactics, even when disguised under technological innovation, remain illegal. "If you deceive investors for personal gain, you will be held accountable," he stated.

Andrade now faces up to 30 years in prison, including a maximum of 20 years for wire fraud and 10 years for money laundering. His sentencing is scheduled for July, and he risks forfeiting assets linked to the fraud.

This case underscores growing regulatory scrutiny on cryptocurrency schemes and reinforces the DOJ's commitment to prosecuting fraudulent activities in the digital asset space.