--- title: "Regulators Claw Back Millions in Crypto Fraud and Theft Cases" description: "The SEC, FCA, and CPS secure over $9.5 million in combined judgments and confiscation orders against BitConnect promoters, cold-call fraudsters, and a corrupt law enforcement officer." url: https://basisdesk.news/analysis/regulators-claw-back-millions-crypto-fraud-theft published: 2026-10-01T14:01:17.832Z modified: 2026-10-01T14:01:17.832Z section: Regulation & Policy author: Basis Desk Newsroom (AI-generated, source-verified) sentiment: neutral tickers: [BTC, ETH] tags: [sec, fca, cps, fraud, theft, enforcement] license: Quote with attribution to Basis Desk (basisdesk.news). Not financial advice. --- # Regulators Claw Back Millions in Crypto Fraud and Theft Cases The SEC, FCA, and CPS secure over $9.5 million in combined judgments and confiscation orders against BitConnect promoters, cold-call fraudsters, and a corrupt law enforcement officer. ## Key points - The SEC secured final judgments totaling over $5.7 million against BitConnect promoters Michael Noble, Craig Grant, and Trevon Brown for unregistered sales. - The UK FCA obtained confiscation orders of over £850,000 against Raymondip Bedi and Patrick Mavanga to compensate 65 victims of a cold-calling fraud. - A former UK NCA officer was ordered to pay £1.8 million after stealing 50 Bitcoin from a seized wallet, with the penalty reflecting BTC's price appreciation. ## Editorial remark - **Context:** These enforcement actions represent the culmination of multi-year investigations dating back to offenses committed between 2017 and 2019. Regulators are systematically clearing a backlog of historical crypto fraud and theft cases. - **Impact:** Dozens of retail victims of the CCX Capital fraud will receive restitution from the FCA. Meanwhile, the judgments against the BitConnect promoters and the corrupt NCA officer reinforce that passage of time and asset appreciation do not shield bad actors from financial recovery. - **Watch:** The next key milestone is the late December 2026 deadline for Raymondip Bedi and Patrick Mavanga to pay their respective confiscation orders or face additional prison time. Regulators and prosecutors in the United States and the United Kingdom have secured a series of major financial judgments and confiscation orders, clawing back millions of dollars from crypto-related fraudsters and a corrupt law enforcement officer [1] [2] [3]. These actions highlight an intensified, coordinated push by global authorities to strip bad actors of their ill-gotten gains, even years after the initial offenses occurred [1] [2] [3]. At the time of writing, the broader digital asset market remains highly valued, with $BTC trading at $83,855 and $ETH at $2,694. This elevated valuation environment has directly amplified the scale of recovery orders, particularly in cases where stolen crypto assets have appreciated significantly over time [3]. ## SEC Secures $5.7 Million Against BitConnect Promoters In the United States, the Securities and Exchange Commission (SEC) obtained final judgments against three promoters of the notorious BitConnect scheme: Michael Noble, Craig Grant, and Trevon Brown [1]. According to the SEC's May 28, 2021 complaint, the trio promoted BitConnect and marketed and sold unregistered securities in its "lending program" between approximately June 2017 and January 2018 [1]. The SEC alleged they operated without registering the securities offering or registering themselves as broker-dealers [1]. The final judgments, entered between July and September 2026, order the promoters to pay a combined total of $5,742,182.35 in disgorgement, prejudgment interest, and civil penalties [1]: * **Michael Noble** was ordered on July 17, 2026, to pay $731,281.00 in disgorgement, $293,703.36 in interest, and a $50,000.00 penalty, totaling $1,074,984.36 [1]. * **Craig Grant** faced a final default judgment on August 7, 2026, ordering him to pay $1,748,147.00 in disgorgement, $702,105.84 in interest, and a $230,480.00 penalty, totaling $2,680,732.84 [1]. * **Trevon Brown** entered a consent judgment on September 9, 2026, ordering him to pay $1,728,563.00 in disgorgement, $182,902.15 in interest, and a $75,000.00 penalty, totaling $1,986,465.15 [1]. All three individuals are permanently enjoined from violating federal securities laws and are barred from participating in future digital asset securities offerings [1]. For more context on these enforcement actions, readers can review the [SEC Secures Over $5.7M in Final Judgments Against BitConnect Promoters](https://basisdesk.news/news/sec-judgments-bitconnect-promoters-noble-grant-brown) archive. ## UK FCA Recovers £1.5 Million for Cold-Calling Victims Across the Atlantic, the UK Financial Conduct Authority (FCA) secured confiscation orders on September 28, 2026, against Raymondip Bedi and Patrick Mavanga [2]. The two men ran a fraudulent investment scheme between February 2017 and June 2019, cold-calling at least 65 consumers to pitch fake crypto opportunities through CCX Capital and Astaria Group LLP [2]. The scheme defrauded victims of £1,541,799 [2]. Following their prosecution and sentencing in July 2025—where Bedi received over five years and Mavanga received over six years in prison—the Southwark Crown Court ordered Bedi to pay £603,404.28 and Mavanga to pay £247,997.99 [2]. The FCA has begun contacting victims to return the recovered funds [2]. If the defendants fail to pay within three months, Bedi faces an additional five years in prison, and Mavanga faces up to two years [2]. ## Former NCA Officer Ordered to Repay £1.8 Million After Bitcoin Theft In a separate UK case, the Crown Prosecution Service (CPS) secured a confiscation order on September 30, 2026, against Paul Chowles, a 44-year-old former National Crime Agency (NCA) officer [3]. Chowles was jailed for five years and six months in July 2025 after pleading guilty to theft and money laundering [3]. Chowles had stolen 50 Bitcoin from a confiscated wallet while working on the investigation of the dark web marketplace Silk Road 2.0 [3]. He attempted to disguise the assets through a series of transactions, but investigators subsequently recovered 30 Bitcoin from him [3]. Though the 50 Bitcoin were worth approximately £60,000 at the time of the theft, the dramatic rise in Bitcoin's market value allowed the CPS to secure a confiscation order of £1,810,678.93 [3]. This sum represents the current value of the recovered assets, ensuring Chowles cannot profit from his crime [3]. ## Implications for the Industry These cases demonstrate that law enforcement agencies are successfully using blockchain analytics to trace and recover assets years after crimes are committed [2] [3]. The CPS case highlights that rising asset prices can work against criminals during confiscation proceedings, as UK courts calculate benefit figures based on current market values rather than historical prices [3]. Furthermore, the FCA's active distribution of recovered funds to victims shows a shift toward consumer restitution alongside punitive sentencing [2]. ## What to Watch Market participants should watch whether the SEC continues to target historical promoters of defunct projects, signaling a long-term commitment to cleaning up past retail market abuses [1]. In the UK, the three-month deadline for Bedi and Mavanga to satisfy their confiscation orders will expire in late December 2026, which will determine whether they serve consecutive prison sentences [2]. Finally, the CPS's ongoing recovery efforts will serve as a benchmark for how state agencies handle and liquidate seized digital assets in high-value cases [3]. ## FAQ **How much were the BitConnect promoters ordered to pay?** The SEC secured final judgments totaling $5,742,182.35 across three promoters: Michael Noble ($1,074,984.36), Craig Grant ($2,680,732.84), and Trevon Brown ($1,986,465.15). **Why did the former NCA officer have to pay £1.8 million for 50 Bitcoin?** Although the 50 stolen Bitcoin were worth approximately £60,000 at the time of the theft, the UK Proceeds of Crime Act allows courts to calculate confiscation orders based on the current appreciated market value of the assets. **What happens if the UK fraud defendants fail to pay their confiscation orders?** If Raymondip Bedi and Patrick Mavanga fail to pay their confiscation orders within three months, Bedi faces up to an additional five years in prison, and Mavanga faces up to two years. ## Sources 1. [Trevon Brown, Craig Grant, and Michael Noble](https://www.sec.gov/enforcement-litigation/litigation-releases/lr-26660) — SEC Litigation Releases, 2026-09-30 2. [FCA secures money back for victims of crypto fraud](https://www.fca.org.uk/news/press-releases/fca-secures-money-back-victims-crypto-fraud) — UK FCA News, 2026-09-28 3. [Ex-NCA officer ordered to repay more than £1.8m following Bitcoin theft](https://www.cps.gov.uk/national-news/news/ex-nca-officer-ordered-repay-more-ps18m-following-bitcoin-theft) — cps.gov.uk, 2026-09-30 --- Basis Desk Newsroom · AI-generated, source-verified · https://basisdesk.news/about/how-we-use-ai