The US Department of Justice has issued an arrest for tax evasion against crypto and cybersecurity personality John McAfee for not disclosing the $23.1 million he received by promoting a series of ICOs.
McAfee was arrested in Spain, to be extradited to the US in light of the said allegations.
The DOJ’s indictment against McAfee conveys a series of tax evasion charges that will keep McAfee in prison for almost 5 years if declared guilty by the verdict.
McAfee’s arrest came the day after the US Securities and Exchange Commission (SEC) sued him for the said allegations, which he received both in popular cryptocurrencies BTC and ETH.
He was said to have gained up to $23.1 million by promoting other cryptocurrencies and consultancy firms, as well as selling the rights to his life story for documentary’s sake for which he failed to file tax in returns despite the income.
McAfee was said to have triggered the Internal Revenue Service (IRS) by hiding assets like real estate, a car, a yacht, and others, wherein he evaded tax by directing his millions of income to be paid into bank accounts and several cryptocurrency exchanges in the name of others.
As per the SEC’s complaint, John McAfee was able to accumulate huge amounts from his Twitter followers with several tweets predicting Bitcoin’s price surge.
Following the above, the SEC reportedly extended to sue Jimmy Gale Watson Jr, McAfee’s former Chief Executive Officer for breaching the US Securities law on ICOs over Twitter alongside McAfee.