global medical cannabis scam

As we learned on Monday, more than a thousand Spaniards have filed a “scam” complaint against JuicyFields, a company that offered to invest in medicinal cannabis and whose actions would have led to numerous casualties around the world, especially in Luxembourg and even in France. The case is just beginning.

This class action complaint, filed against a company called JuicyFields, concerns alleged “fraud”, “embezzlement” and “money laundering”, Mr.e Norberto Martinez, a lawyer for the Martinez-Blanco firm, was at the forefront of this procedure.

Gathering around 1,200 investors (1,400 according to some media reports), it was filed over the weekend with the investigating judges of the National Audience, a Spanish court that specializes in complex cases, the institution’s doorman confirmed to AFP.

At this stage, this will be the first class action lawsuit against JuicyFields. But certainly not the last.

Promise of 66% return on investment

In 2020, JuicyFields was created and a fundraising campaign was launched through Telegram and dedicated cryptocurrency forums. This company based in the Netherlands offers to buy cannabis plants for medical use online (between 50 and 180,000 euros in cryptocurrencies), promising investors very high returns.

To reassure investors, JuicyFields claims to have signed agreements with market leaders such as Aurora Cannabis or Canopy Growth. But they deny any connection, whatever it may be.

The promised ROI is “between 29% and 66%,” explains the Martinez-Blanco firm, which in a press release mentions a possible “Ponzi pyramid,” a scam that rewards existing investors with funds provided by new entrants.

In fact, according to several testimonies compiled by AFP and other media outlets, investors initially made substantial profits. But from July 11, the possibility of withdrawing money was blocked and the accounts were gradually closed. About 500,000 people will be affected. His online wallets then held more than 5 billion euros in cryptocurrencies.

Mid July, JuicyFields no longer responds

“The alarm was raised on July 13 when the JuicyFields website went down,” explains the Martinez-Blanco firm, for which a drop in new investors, as well as a drop in the cryptocurrency market, would have led to the company’s “bankruptcy.” Leaders are not available. Facebook, Twitter and Instagram accounts have been deactivated and YouTube content has disappeared.

The firm estimates that in Spain alone, JuicyFields would have caused almost 4,500 casualties, with “an average damage of 6,500 euros”, but in some cases up to 200,000 euros. Many other investors would fall prey to this company elsewhere in Europe. In Luxembourg alone, 101 people would lose 1.6 million euros in this case. Although there is no exact figure, it is estimated that 260 victims have already filed a complaint or are planning to do so.

In France, a woman has already filed a complaint against the company with the Tourcoing police station, according to a report seen by AFP. In addition, a class action complaint must be filed before the end of the year in France, according to a lawyer contacted by “between 4 and 500” alleged victims of M.e Arno Delomel. A resident of Colmar is also part of the deceived. He invested 25,000 euros.

According to the surveyEl Pais Financierothe amount of fraud will amount to hundreds of millions of euros.

“Victim groups form from country to country,” Ms. explained.e Delomel causing a complex case, with conflicting speeches from “former executives” and “new” ones, as well as “staff who have an opinion on everything and its opposite”.