In Spain, medical cannabis should not be confused with a Ponzi scheme. For many Spanish citizens, however, this was before their investment hopes were dashed. Thus, more than a thousand Spaniards filed a “fraud” complaint against a company that offered to invest in medicinal cannabis. According to AFP, the actions of this company claimed many victims around the world, including in France.
The company that the collective complaint is directed at is called JuicyFields to mean “juicy fields”. Apparently based in the Netherlands and then finally in Germany, the company is accused of “fraud”, “embezzlement” and “money laundering”, Norberto Martinez, the firm’s lawyer, told AFP. Martinez-Blanco initiated the procedure. The complaint, which involved some 1,200 aggrieved investors, was filed over the weekend of July 30 with the investigating judges of the National Audience, a Spanish court that specializes in complex cases.
What kind of fraud are we talking about? JuicyFields has offered interested parties the opportunity to buy cannabis plants for medical use online, while promising investors very high returns. The promised return on investment was clear “between 29% and 66%”explains the firm Martinez-Blanco, which causes in a press release a possible “ponzi schemeAt the heart of the scam: A scam that rewards existing investors with funds provided by new entrants. During the heyday of JuicyFields, the platform could have up to 10,000 connections per day. His website has partnerships with well-known cannabis companies such as Canopy Growth Canadians or Aurora. Something to reassure the clients who initially made a substantial profit from this operation. Except that it was all fake.
4500 victims in Spain
From July 11, withdrawal options were blocked, and participants’ accounts were gradually closed. “The alarm was raised on July 13 when the JuicyFields website went down.“, indicates the Martinez-Blanco firm, for which a reduction in the number of new investors, as well as a fall in the cryptocurrency market, would lead to “bankruptcysociety. The firm estimates that JuicyFields has claimed the lives of almost 4,500 people in Spain, while “average losses 6500 euros“, but in some cases it can reach up to 200,000 euros for the most wasteful investors.
In a Telegram group of more than 1,600 people, and to which French investors are organizing their legal response, some of them claim to have filed a complaint on a case-by-case basis. Rose (not her real name) filed a complaint with the Tourcoing (Hauts-de-France) police station on July 20 against the company for “fraud”. “I started by investing a very small amount because I wanted to first check if I had a return on investment.” then “I bought a plant for 50 euros and this plan brought me 25 euros profit in three and a half months”explained a 58-year-old woman who started investing in December 2021. “Instilled confidence in me, so I immediately invested money and invested large sums”, she pointed out, claiming that she no longer has access to her account since July 13 and lost 3,600 euros in this case. Juicy fields”business seemed to be going well, with investments in euros, with banks behind it, so some security, it seemed promising“, also testified David Binz, another French investor, who claims he was wronged after he invested 48,000 euros in the company. Many other investors would have been victims of this company elsewhere in Europe. In France, a class complaint must also be filed between late September and early October, Arnaud Delomel told AFP The lawyer claims several hundred people contacted him to join the class action.