A US national who allegedly scammed people into investing in fake bonds has been arrested and charged in Sydney.

Police allege the man received more than $2.8 million dollars from 14 would-be investors, many of whom were retirees, before funnelling the money into Bitcoin.

Between March and August this year the 52-year-old allegedly duped people into investing in fake bonds, mainly through self-managed super funds, using scammers posing as trusted financial institutions.

Detectives searched a unit in Woolloomooloo on Friday morning where they seized electronic devices and documentation, which will undergo further examination.

That night the man was arrested at Kings Cross Police Station where he was charged with 13 counts of obtaining benefit by deception and 13 counts of recklessly dealing with the proceeds of crime.

He was refused bail and is due to appear at the Parramatta Bail Court on Saturday.

Australian Associated Press

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