WhiteRock founder Ildar Ilham was arrested in the UAE over alleged involvement in the $30M ZKasino scam, a year after Dutch authorities flagged the case.
Crypto sleuth ZachXBT wrote on Thursday that UAE officials had arrested Ilham in an investigation into “widespread fraud” at ZKasino. According to ZachXBT’s story, WhiteRock had something to do with ZKasino’s $30 million fundraising.
The alleged investor scam happened after ZKasino launched in April 2024 and told some users they would get a free copy of its coin. There have been claims that the money was not returned more than a year later.
Source: ZachXBT
Dutch police caught a 26-year-old man in April 2024, saying he was crypto personality Elham Nourzai and accused him of fraud, embezzlement, and money laundering because he was involved in the ZKasino scam.
ZachXBT says that Ilham’s arrest is related to the probe into Nourzai and ZKasino. He is currently being extradited to the Netherlands.
Lior Ben Zakan, who was also thought to be involved with the case, was not named in the police report.
The price of WhiteRock’s local token drops after the arrest.
After news spread that Ilham had been arrested, WhiteRock’s token price dropped more than 40% on Thursday, from $0.0006582 to $0.0003909.
The case is one of the newest scams aimed at people who use cryptocurrencies. On Wednesday, US officials said they had recovered about $40,000 of the more than $250,000 stolen from a person who gave money to a fake inaugural committee.
