At the cannabis investment platform JuicyFields, thousands of investors have been unable to access their accounts for months. In several of the company’s Telegram chat groups, explanations, supposed corrections and denials were circulated, which contributed to further uncertainty among investors.
Do the medicinal cannabis plants that the online portal Juicyfields.io talks about and in which investors could allegedly participate in the cultivation, harvesting and sale of the plants actually exist? This is currently being investigated by the investigating authorities.
Our law firm is increasingly receiving reports from extremely concerned investors who are currently no longer able to access their accounts. They fear for their funds and ask for the support of our lawyers.
According to estimates, this could amount to several billion euros. A sum that private investors have invested in possibly purely fictitious cannabis plants.
- Who is behind the fraud?
- What chances do investors have of getting their money back?
- How high is the total loss?
In this article, the lawyers of the Herfurtner law firm summarise all the information known so far.
Tips and free initial advice for investors
Our law firm continues to receive numerous enquiries from investors who have invested funds with JuicyFields and are now having our lawyers review their legal action.
In principle, there are many different options which the Herfurtner law firm takes depending on the individual case.
These include, among others, the following services:
- If this has not yet been done, we file a criminal complaint for fraud with the police or the public prosecutor’s office on your behalf.
- Furthermore, we take over the communication and cooperation with the investigating authorities.
- We work closely with IT forensic experts to preserve evidence and trace money transfers and cryptocurrency transactions.
- In the event of confirmation of the criminal offence of fraud, we take all possible legal steps both out of court and in criminal proceedings.
Current danger from JuicyFields clone
Sweetfields.io is a website that appears to have copied the JuicyFields platform’s distinctive features, layout, services and business model. It can be assumed that this provider has dubious intentions and wants to use the uncertainty of JuicyFields providers to get their money. That is why our lawyers advise against investing.
On the homepage, the provider calls itself a “cannabis platform in the Netherlands”. Contradictorily, there is a Polish company address in the footer of the domain.
Poland, Gagarin st 158
Just as with JuicyFields, capital investments in e-growing are possible here. The investments can be paid either in cryptocurrency or by bank transfer – exactly as with JuicyFields.
The language used by Sweetfields in its advertising is also very reminiscent of JuicyFields, which is under urgent suspicion of fraud.
“The Sweet Fields cannabis cultivation platform.
Be the first to get in on the new, fast-growing business! What are we offering? We invite you to start a legal business related to growing cannabis. To start this business, you don’t need a large investment or land! All you need is an amount of 50 euros. After only 108 days, the investor can make a profit, such as a full repayment of the investment together with the interest.
The investor determines the size of the investment and sets the limits of the future income by choosing the variety of cannabis and the number of his bushes. The growth rate, maturity and yield of cannabis varies. The timing of profit and the amount of profit also varies. It ranges from 36 to 66%. Everyone can choose the best path for themselves.”
(20.10.2022, https://sweetfields.io/de/)
It cannot be ruled out that more clones of JuicyFields will appear on the market in the near future.
JuicyFields raid by Berlin State Criminal Police Office
On 16 August 2022, investigators from the Berlin State Criminal Police Office searched the homes of 12 suspects. In addition, offices of a total of five companies presumably involved were also searched at two different locations.
The LKA seized a large number of documents which are now being evaluated as evidence. BaFin was also involved in the raid.
What we know about JuicyFields
JuicyFields had offered e-growing since 2020. This means that investors could participate in the cultivation, harvesting and distribution of cannabis plants that are to be used for medicinal purposes.
Investors were promised returns of more than 100 per cent annually. The company did not reveal how exactly it would achieve this, let alone guarantee it.
JuicyFields also operates under the name Juicy Holdings B.V..
JuicyFields operates the following websites:
https://juicyfields.io/de/
https://juicyfields.io/
https://juicyfields.crowddesk.io
The website https://juicyfields.io/ was the company’s most important. Here, customers had the opportunity to invest in four different plants: buy, sell, pay out profit – all this took place in virtual greenhouses. Until now, it is unclear whether the plants ever actually existed.
Because finally, in July 2022, the first inconsistencies appeared. Customers could no longer log into their accounts. Around the same time, company content on JucyFields’ social media channels was also deleted. These were the first signs of a scam.
The provider’s website is still up and running and visitors note that new information is always being displayed here. However, it is not known who operates the website and creates the current content.
What do the people in charge of JuicyFields say?
Until the beginning of the year, Alan Ganse acted as CEO of the company. When asked about the allegations of fraud, he said he was not responsible for the investment platform or the finance department.
He blamed the complexity of the company’s structure and an internal power struggle between new and old owners for the incidents.
Exit Scam – How high are the losses?
JuicyFields itself speaks of a total of 500,000 registered customers on the investment platform. The customer base extends across Europe, Latin America, Africa and Asia.
Either by bank transfer or payments with crypto money such as Bitcoin, customers could make investments between 50 and 180,000 euros.
Aggressive advertising with unbelievably high returns
For a serious image and to gain the trust of investors worldwide, the JuicyFields company relied on a consistent marketing and advertising strategy since 2020.
Large-scale advertising measures were used on various websites, in Telegram chat groups, various social media channels and on Youtube. Even influencers were worked with and the investment platform was promoted at international trade fairs.
In addition, JuicyFields appeared as a sponsor of various events and exhibitions and was featured in Forbes magazine several times. With the investments in medical cannabis, profits of more than 100 % per year were promised in some cases.
And the marketing plan seemed to work for a long time. Investors reported an unproblematic payout of their profits for a long time. The positive experience reports further boosted the interest of small investors in JuicyFields.
Several private investors put their entire savings into the cannabis platform. Some even took out loans. Those affected are now exchanging information on the internet and drawing comparisons between JuicyFields and the major fraud case surrounding the digital currency OneCoin.
Ruja Ignatova is listed by the FBI as the mastermind – among the world’s most wanted persons. The total economic damage caused by OneCoin is said to amount to four billion US dollars.
The damage caused by JuicyFields is currently estimated to be between tens of millions and billions.
JuicyFields: a modern economic crime story
According to the current state of the investigation, JuicyFields has at least partially used the Ponzi scheme. Here, the money of new customers is illegally used to pay off “older” customers.
Likewise, some investors were tied to JuicyFields with bonuses if they could attract new customers. That investing in the cannabis industry is so attractive to investors is not so surprising.
The industry has been growing since the use of cannabis was legalised for medical treatment in several countries worldwide. Even for private consumption, the herbal drug is legal in some US states and in Canada.
In Germany and other European countries, political debates and government plans to legalise cannabis have also been a topic for years and are coming within reach.
JuicyFields investigations and class action lawsuit
The public prosecutor’s office in Berlin is conducting investigations against those behind the platform. Together with the Berlin State Criminal Police Office, the public prosecutor’s office is also investigating the amount of the total damage caused by JuicyFields.
Most recently, according to the Berlin public prosecutor’s office, asset seizures have been executed against 4 companies so far, each amounting to more than 2.5 million euros.
Every affected investor of JuicyFields has the possibility to file a criminal complaint with the police because of fraud and should – according to the advice of our lawyers – do so. Because only by taking this step will the investors show up in the investigation proceedings.
Our law firm is aware that the public prosecutor’s office in Berlin is already handling several cases, so it is likely that collective proceedings will be initiated.
Nevertheless, aggrieved parties should not wait for this, but should act now and report the probable case of fraud also at the place of residence, in order to be able to enforce later claims if necessary.
What should investors do now?
The most important advice is: Act promptly. In addition to filing a criminal complaint, investors should also go one step further and engage the services of a lawyer. A lawyer who is familiar with investment fraud has far-reaching possibilities.
The lawyers of the Herfurtner law firm first offer you a free initial consultation in which you can describe your experiences to us. We will then carry out a case-by-case examination and explain to you realistically and honestly what chances of success we see.
If a mandate comes about, we will work conscientiously for your interests.
This includes the following services:
- If this has not yet happened, we will file a complaint for fraud with the police or the public prosecutor’s office.
- Furthermore, we take over the communication and cooperation with the investigating authorities.
- We work closely with IT forensic experts to preserve evidence and trace money transfers and cryptocurrency transactions.
- In case of confirmation of the criminal offence of fraud, we take all possible legal steps both out of court and in criminal proceedings.