• Police have restrained more than $650,000 in assets after a Wellington man’s arrest for a cryptocurrency scam.
• The man appeared in Auckland District Court accused of stealing US$265 million ($450m) in cryptocurrency.
• Assets valued at $670,000 were restrained, including cash, cryptocurrency, and high-value goods.

Police have restrained more than $650,000 in assets, after the arrest of a man allegedly involved in a cryptocurrency scam as part of an FBI investigation.

The Wellington-based man appeared in the Auckland District Court on Friday for his alleged involvement in an organised criminal group that stole cryptocurrency from seven victims valued at US$265 million ($450m).

The Wellington High Court issued restraining orders under the Criminal Proceeds (Recovery) Act 2009 for assets valued at $670,000 including cash in bank accounts, cash in a lawyer’s trust account for a property purchase, cryptocurrency and high value goods.

Detective Inspector Christiaan Barnard said: “We will continue to work with our law enforcement partners in the United States to recover assets alleged to have been stolen by the organised criminal group”.

An interim name suppression order remains in place, police said.

Police allege the stolen virtual currency was used to buy $9m of exotic cars, and hundreds of thousands of dollars was spent on luxury items and services, including handbags, watches, clothing and nightclub services. Photo / NZ Police

Police allege the defendants used the stolen virtual currency to buy $9m of exotic cars, and spent hundreds of thousands of dollars on luxury handbags, watches and clothing, nightclub services, private security guards and rental homes in Los Angeles, the Hamptons and Miami.