Kazakh Court Sentences Organizers of Electric Scooter Investment Scam

A court in Aktobe has issued a verdict in a high-profile case involving the creation and management of the "Harmony Rider Technology" (HRT) financial pyramid, as well as the laundering of criminally obtained money.

In 2024, a group of individuals organized the pyramid scheme, presenting it as an international company supposedly engaged in purchasing and renting out electric scooters abroad. However, investigators established that investor returns were generated solely from funds contributed by new participants.

To lure citizens, the organizers ran advertising campaigns on social media and messaging apps, and held offline meetings and presentations. To create an illusion of legitimacy, they rented an office in Aktobe where promotional activities took place. The required investments ranged from $350 to $20,000 USD, with promised daily returns between $12 and $690.

For money laundering purposes, the illicit proceeds were funneled through cryptocurrency wallets before being converted and transferred to bank accounts. This criminal activity resulted in 115 investors being defrauded for a total sum exceeding 197 million tenge.

The organizers used these funds to purchase three cars, one of which was registered under a relative's name.

The court sentenced the masterminds to prison terms of up to six years. Additionally, the three vehicles were confiscated by the state. The verdict has now entered into legal force.