Victims Of £1.5M Crypto Fraud Are Secured A Refund By The FCA
The Financial Conduct Authority (FCA) has taken another significant step in the fight against cryptocurrency fraud after securing more than £850,000 in confiscation orders from two individuals involved in a £1.5 million crypto investment scam.
The case highlights the growing importance of financial crime enforcement, asset recovery and digital investigations in tackling sophisticated cryptocurrency fraud.
It also demonstrates that, even years after an investment scam takes place, law enforcement and regulators can continue pursuing criminal assets and seeking financial redress for victims.
£1.5 Million Crypto Investment Fraud
The fraud involved Raymondip Bedi and Patrick Mavanga, who operated a fraudulent investment scheme between February 2017 and June 2019.
According to the FCA, the pair cold called consumers and persuaded them to invest in what appeared to be legitimate cryptocurrency investment opportunities.
The scheme used companies including CCX Capital and Astaria Group LLP to present the investment opportunities to potential victims.
At least 65 investors were defrauded, with total losses amounting to £1,541,799.
The FCA’s earlier prosecution established that victims were offered fake cryptocurrency investments and attracted by the prospect of high returns.
The case illustrates how fraudsters can use professional looking websites, persuasive telephone calls and apparently legitimate corporate structures to create the appearance of a genuine investment business.
For victims, however, the investments were not what they appeared to be.
FCA Secures More Than £850,000
Following criminal convictions and prison sentences, confiscation proceedings continued against Bedi and Mavanga.
At Southwark Crown Court on 28 September 2026, Raymondip Bedi was ordered to pay £603,404.28, while Patrick Mavanga was ordered to pay £247,997.99. Together, the confiscation orders total £851,402.27.
The orders were made under the Proceeds of Crime Act 2002 (POCA), which provides courts with powers to recover the financial benefit obtained from criminal conduct or the value of an offender’s available assets, subject to the relevant legal framework.
The FCA has identified and contacted victims and says recovered funds will be returned to those affected by the fraud.
However, the recovery does not represent the full £1.54 million lost. If the entire £851,402.27 is recovered, victims would collectively receive only part of the money originally lost.
This distinction is important, a successful confiscation order can provide meaningful financial recovery, but it cannot necessarily restore every pound lost through an investment scam.
Criminal Convictions And Prison Sentences
The confiscation orders follow successful criminal proceedings brought by the FCA.
In July 2025, Bedi was sentenced to five years and four months in prison, while Mavanga received a sentence of six years and six months. The combined prison sentences amounted to almost 12 years.
The FCA’s enforcement action therefore involved more than simply identifying the fraudulent activity; it progressed through investigation, prosecution, conviction, imprisonment and ultimately asset recovery.
That process demonstrates the importance of preserving and analysing evidence throughout a financial crime investigation.
The Role Of Digital Evidence In Crypto Fraud Investigations
Cryptocurrency transactions can create a valuable digital trail; blockchain records, transaction histories, wallet addresses, exchange records, emails, websites, mobile devices and communications may all provide evidence capable of helping investigators establish what happened to stolen or fraudulently obtained funds.
However, cryptocurrency investigations can be complex; fraudsters may move assets through multiple wallets, exchanges and jurisdictions in an attempt to obscure the origin and destination of funds.
Digital forensic investigation can therefore play an important role in establishing timelines, identifying relevant communications and preserving evidence in a manner that may withstand legal scrutiny.
For businesses, solicitors and individuals investigating suspected cryptocurrency fraud, specialist expertise can help connect seemingly separate pieces of digital information and establish a clearer picture of the underlying activity.
What This Case Means For Crypto Fraud Victims
The FCA’s action sends an important message to victims: reporting cryptocurrency fraud can still matter, even when significant time has passed.
The regulator’s advice also highlights another danger; individuals who have already lost money to a cryptocurrency scam may subsequently be targeted by criminals claiming they can recover the funds for an upfront fee. The FCA specifically warns consumers to be cautious of these follow up recovery scams.
Anyone who believes they have been affected by investment fraud should report the matter through the appropriate channels and preserve relevant evidence, including emails, messages, payment records, wallet addresses, transaction IDs, screenshots and information about the people or organisations involved.
A Wider Focus On Financial Crime Enforcement
The case forms part of a broader FCA focus on financial crime. During 2025/26, the regulator reported that more than 75% of its enforcement work focused on fighting financial crime and that it secured £82.1 million for consumers and investors through redress schemes, settlements and civil proceedings.
For cryptocurrency investors, the case is a reminder that digital assets are not immune from traditional principles of fraud investigation and asset recovery.
For investigators and legal professionals, it demonstrates the value of combining financial intelligence, blockchain analysis and digital forensics when tracing suspected fraudulent activity.
How Evidence IT Can Help With Crypto Investigations
Cryptocurrency fraud can involve complex digital evidence spread across devices, online platforms, financial records and blockchain transactions.
Evidence IT provides digital forensic investigation and cryptocurrency investigation services, with experience supporting legal and commercial matters and produces reports and documentation to a court admissible and expert witness information and analysis standard.
The FCA’s successful recovery of more than £850,000 demonstrates that pursuing the proceeds of cryptocurrency fraud can produce tangible results.
For victims and legal professionals, the key lesson is clear: preserving digital evidence early and obtaining specialist assistance can be critical when attempting to understand, investigate and recover assets connected to crypto fraud.
Source: https://www.law360.co.uk/corporate-crime-uk/articles/2530606?nl_pk=d64172b4-12cb-4a76-a96e-97e86bdd980d&utm_source=newsletter&utm_medium=email&utm_campaign=corporate-crime-uk&utm_content=2026-09-29&read_main=1&nlsidx=0&nlaidx=3
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