A Cortez man reported losing more than $600,000 after he thought he was investing in cryptocurrency from a legitimate source.
The man told Montezuma County sheriff’s deputy Daniel Ruiz on Jan. 9 that it started when an unknown woman named “Emily Lee” texted him.
According to a sheriff’s report, Lee encouraged him to invest in gold through cryptocurrency on BlueCoin (BLU) and at OKCoin.com.
The case involves false profits of more than $1.3 million, demands for upfront fees to withdraw cash, and the manipulation of a phony website posing as real-life financial companies.
Over several months, the man told deputies he transferred about $617,000 into the platforms.
He said he was led to believe those investments raised profits of about $1.3 million.
Authorities said in the report they believe the account was used as a hub for laundering money into other accounts.
He was able to complete two withdrawals that appeared to go through – a $100 withdrawal in October and a $20,000 withdrawal early last month, both of which showed up in his bank account.
When he attempted to withdraw the full balance, however, he was told he would need to pay a 20% fee because his profits exceeded $500,000.
Investigators noted the man had never met Lee, who initially contacted him, and she had not provided credentials verifying her identity.
The two communicated over the phone or a special texting app.
Deputies later said that while OKCoin is a legitimate cryptocurrency exchange, the version the man was using was not official.
The case remains under investigation.
Sheriff Steve Nowlin said fraud attempts of this nature have increased yearly, saying it appears “it’ll will never go away.”
Nowlin said they respond to scam reports several times a week in Montezuma County.
While the older population remains a frequent target, he added that younger residents are also being scammed.
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