Texas Man Sentenced to 23 Years for $20 Million Meta-1 Coin Fraud

Robert Dunlap, a 55-year-old Texas man, was sentenced to 23 years in federal prison by U.S. District Judge LaShonda A. Hunt for orchestrating the Meta-1 Coin cryptocurrency fraud that defrauded nearly 1,000 investors of over $20 million. Dunlap falsely claimed Meta-1 Coin was backed by $44 billion in gold and $1 billion in artwork including pieces by Picasso, Van Gogh, and Dalí, and that these assets were audited. A federal jury in the Northern District of Illinois convicted Dunlap on mail fraud charges last year, and the judge ordered him to pay restitution to victims, many of whom lost their entire life savings. IRS Criminal Investigation officials characterized the sentence as a clear warning that cryptocurrency fraudsters will face serious consequences.

The Meta-1 Coin Fraud Scheme and False Claims

• ▪Meta-1 Coin was supposedly backed by $44 billion in gold and about $1 billion in art
• ▪The claims about Meta-1 Coin's backing by gold and art were not true
• ▪Robert Dunlap falsely claimed the assets backing Meta-1 Coin were audited
• ▪Robert Dunlap operated a crypto project that sold Meta-1 Coin
• ▪Robert Dunlap scammed investors out of more than $20 million through the Meta-1 Coin fraud scheme
• ▪Robert Dunlap claimed the art collection backing Meta-1 Coin included works by Pablo Picasso, Vincent Van Gogh and Salvador Dalí

Criminal Sentencing and Victim Impact

• ▪Many investors in Meta-1 Coin lost all of their savings
• ▪U.S. District Judge LaShonda A. Hunt ordered Robert Dunlap to pay restitution to his victims
• ▪U.S. District Judge LaShonda A. Hunt sentenced Robert Dunlap to 23 years in federal prison on Thursday
• ▪Robert Dunlap had almost 1,000 victims in the Meta-1 Coin fraud scheme
• ▪Robert Dunlap is 55 years old
• ▪A federal jury in the Northern District of Illinois convicted Robert Dunlap on mail fraud charges last year

Law Enforcement Response and Deterrence Message

• ▪Adam Jobes stated that the 23-year sentence for Robert Dunlap sends a clear warning that those who exploit others for personal gain will be found and face serious consequences
• ▪Adam Jobes stated that Robert Dunlap used lies and deception to pull in millions
• ▪Adam Jobes is the special agent-in-charge of IRS Criminal Investigation in Chicago

Perspective of IRS Criminal Investigation

• ▪The 23-year sentence for Robert Dunlap serves as a warning to others who might exploit investors for personal gain
• ▪IRS Criminal Investigation characterizes Robert Dunlap's Meta-1 Coin operation as using lies and deception to pull in millions of dollars

Perspective of Meta-1 Coin investors

• ▪Nearly 1,000 people invested in Meta-1 Coin based on Robert Dunlap's false claims about asset backing
• ▪Meta-1 Coin investors collectively lost over $20 million that they are now entitled to receive as restitution