Jimmy Gale Watson, the executive advisor to John McAfee has pleaded not guilty to the charges brought against him in court. He is alleged to have defrauded investors through wire frauds, crypto scams, money laundering, conspiracy to commit commodities and securities fraud.
On March 5, Jimmy alongside his boss was charged with involvement in crypto scams that caused investors to lose about $13 million. Before his arrest, Watson acted as the former executive advisor of the “McAfee Team”, which was a website that offered crypto tips to investors. Watson is facing charges for his involvement in a series of altcoin “pump and dump” schemes between 2017 and 2018.
The charge against Watson was that he participated in a pump and dump scheme which misled several investors and caused them to lose money. According to the indictment, McAfee’s team bought large amounts of Altcoins at a low price, which included Docademic, Verge, Dogecoin, Reddcoin and others.
The team charged up to $105,000 for the promotion of each coin and touted them using claims like “Coin of the week”. The moment the prices of the coin had been pushed upward by retail investors, the group clandestinely dumped the coins. This crypto scam by the group misled a large number of McAfee’ followers on Twitter.
McAfee Adviser Pleads Not Guilty to Crypto Scam
Jimmy Watson was also alleged to have hyped initial coin offering (ICO) through his boss’ Twitter account. However, he left out the information that McAfee was being remunerated by the ICO issuers. When his charges were read against him in court, he pleaded not guilty.
In October, John McAfee was arrested for tax evasion and is now serving his sentence in a Spanish prison. However, the U.S. authorities are working on his extradition so that he can properly face charges.