A businessman from New York was arrested and charged with organizing two fraudulent ICO campaigns and deceiving investors.

In a statement, the prosecutor's office of the Eastern District of New York reported that Maxim Zaslavsky was arrested on November 1 and charged with securities fraud in two campaigns to sell tokens, one of which was secured by real estate and the other with diamonds. Also, a suit was issued on October 27.

The charge against Zaslavsky and two related companies was presented by the US Securities and Exchange Commission more than a month ago.

The regulator claims that Zaslavsky deliberately distorted information about the amounts raised during the two ICOs. The commission, by order of the court, froze the assets of a businessman and two companies.

Later, the prosecutor's office found out that the assets that allegedly provided the tokens sold did not actually exist.

The indictment alleges that:.

"Zaslavsky and his associates attracted investors using innovative ICOs and promising their high profitability, knowing that no real estate or diamonds providing investment were available".