Greek military involved in alleged 8 million crypto fraud scheme

Greek authorities have arrested nine suspects, including two servicemen, accused of running an $8 million cryptocurrency pyramid scheme that allegedly defrauded around 10,000 investors. The suspects appeared before an investigating magistrate in northern Greece on Monday, with police estimating the scheme collected funds ranging from €800 to €5,000 from victims, promising their investments would double.

The operation allegedly used a local civic group, the Association of Artificial Intelligence Friends in Katerini, as its recruiting front. A 44-year-old leader of this group was remanded in custody, while six others were released on bail between €15,000 and €20,000. The two military suspects, from Pieria and Larissa, are believed to have learned the scheme’s methods overseas.

Investigators claim the organization signed up 1,842 members in Katerini alone, collecting about €2 million. The case began in July after two anonymous complaints were filed through the Greek government’s digital services portal. None of the allegations have been tested in court, and the figures come from police sources rather than a formal charging document.