Manhattan District Attorney Alvin Bragg has charged Michael Lauchlan, operating under the alias Max Handler, with defrauding customers through a fake crypto asset recovery business called Coin Dispute Network (CDN). Lauchlan allegedly promised to recover lost crypto assets but instead pocketed client fees and Ethereum (ETH) without delivering services.
Between July 2022 and June 2023, CDN claimed to offer blockchain analysis and recovery services. Authorities seized the CDN website in June 2023 and arrested Lauchlan in Las Vegas on July 9, 2024. The DA’s office identified around $14,000 in user funds transferred to CoinEx and spoke to over 175 victims.
This case marks a significant action against crypto recovery scams. District Attorney Bragg noted that Lauchlan’s scheme manipulated customers with false promises, highlighting the ongoing battle against fraud in the evolving cryptocurrency market.
