A trial began on Monday in a French conference center for over 20 defendants accused of defrauding 1,300 individuals through fake cryptocurrency and diamond investment schemes alongside swindling prominent football clubs. This case, dubbed “red card” due to the involvement of a dozen football clubs as plaintiffs involves an alleged theft of approximately €28 million (around $30 million).
The trial, relocated to a conference center in Nancy to accommodate the large number of victims—850 of whom are represented—will last four weeks. The defendants, aged between 28 and 73 are accused of operating fraudulent investment websites for diamonds and cryptocurrencies from 2016 to 2018. One investor reportedly lost €400,000, believing they were investing in a “diamond savings plan.”
Colman a law firm representing about 100 plaintiffs, stated that many victims lost significant portions of their savings or took out loans, lured by promises of high annual returns. They noted that this trial sends a strong message in the fight against international financial fraud.
Investigators revealed that the accused opened 199 bank accounts across 19 countries to receive and transfer funds, recovering €2.8 million that may be used for victim compensation. The alleged fraudsters also targeted French football clubs, pretending to be agents acting on behalf of professional players, claiming players had updated their banking details.
Clubs like Sochaux, Angers and Toulouse fell victim to this scam, losing around €60,000 collectively. The 22 defendants include three who are being tried in absentia. Prosecutors have charged about a dozen with “criminal conspiracy,” while others face charges of “fraud committed in a gang,” primarily for creating fake websites or ordering counterfeit diamonds.
