National Science Institute
| Abbreviation | NSI |
|---|---|
| Formation | 1994 |
| Founder | Chris Boden |
| Founded at | Grand Valley State University |
| Dissolved | December 31, 2018 |
| Type | NGO |
| Legal status | 501(c)(3) Non-profit |
| Purpose | Education |
| Location | |
Formerly called | The Boehemian Brothers, GeNext! & The Geek Group |
The National Science Institute (NSI), previously known as The Geek Group, was a not-for-profit educational organization based in Grand Rapids, Michigan. The group opened to the public on January 1, 2014, and said in May of that year that it had over 25,000 members in 142 countries.[1]
The organization's president and executive director chose to close the organization on December 31, 2018, following a sealed search warrant executed by the United States Department of Homeland Security and three other federal agencies.[2] Two of its executives were sentenced to jail time, and one of its consultants received probation, for crimes at a bitcoin exchange service that it operated.[3]
History
[edit]The organization was started in 1996 at the Grand Valley State University in Allendale, Michigan as a group of friends, experimenting with university surplus equipment.[citation needed] The group grew over several years, and several name changes into a small company, The Geek Group, leasing a building in Grand Rapids at 344 Ionia Ave SW. The Geek Group later moved to Kalamazoo and became a 501(c)(3) non-profit organization.[4] In early 2010 the Kalamazoo County Treasurer seized the organization's headquarters, which was then located in Kalamazoo Township, Michigan, a suburb of Kalamazoo, after the organization refused to pay property taxes of over $100,000.[5][6] The organization appealed, unsuccessfully.
The organization moved back to Grand Rapids in December 2010[7] a 43,000-square-foot (4,000 m2) facility situated on Leonard Street NW, dubbed "The Leonard Street Labs."[8] On January 2, 2014, a fire partially destroyed the organization's High Voltage Lab, and deposited soot all over the lab. A grub screw on a Tesla coil rotary spark gap was not tight enough, allowing a tungsten electrode to move out of its socket and strike one of the stationary electrodes. This resulted in a chain reaction with molten tungsten being flung from the spark gap unit, which caused a nearby capacitor array to catch fire and subsequently melt. From preliminary analysis, Project Gemini (a 200,000 watt Tesla coil demonstration) looked to be the originating cause, and was completely destroyed, and Project Thumper (a high impulse generator) was damaged. The fire was hot enough to melt aluminum racks. Although no one was hurt, the building was closed to the public once again for repairs.[9][10]
Federal raid and aftermath
[edit]On December 21, 2018, the National Science Institute's laboratory at 902 Leonard Street NW was raided by Homeland Security, the IRS, and several other federal agencies.[11] After the raid, the NSI could not meet its financial obligations, and shut down on December 31, 2018.[12][13] The Leonard Street Labs building was demolished to make way for Victory on Leonard, a 119-unit apartment building.[14]
On January 5, 2019, Christopher Boden, the founder of the organization, said that the raid took place "because he was commercially trading in cryptocurrency without the proper authorization", and that he believed he was facing prison time.[15] The United States Department of Justice (DOJ) said that Boden, Daniel Reynold DeJager, and Leesa Beth Vogt operated a service whereby cryptocurrency was being purchased, mixed, and resold, including to drug dealers, without following any anti-money laundering or know your customer procedures. The DOJ also said that Boden solicited an undercover agent to collect a bitcoin debt "by using violence if necessary."[16]
Boden pleaded guilty to money laundering, operating an unlicensed money transmitting business, and structuring,[17] and was sentenced to 30 months' incarceration, followed by 3 years of supervised release. Vogt pleaded guilty to structuring, and was sentenced to 10 months in prison and 3 years of supervised release. DeJager pleaded guilty to money laundering and conspiracy to operate an unlicensed money-transmitting business, and was sentenced to four years of probation.[3]
Sponsors
[edit]The organization was sponsored by many companies, the majority of them small businesses local to the organization, but also some larger companies such as Rustoleum. NSI supplemented this donation income by charging for some research and development services.[18]
YouTube popularity
[edit]The organization ran a YouTube channel, serving as an extension of their digital education program. As of 2018, the channel had over 94,000 subscribers and 650 videos.[19] In addition to technical tool training videos, the channel regularly produced several educational video series, including equipment autopsies and machine tutorials.
References
[edit]- ^ Weick, Rachel (2014-05-09). "Geek Group provides access to technology". Grand Rapids Business Journal. Retrieved 2022-02-28.
- ^ "GR tech group blames fed search fallout for shutdown". 24 Hour News 8. December 31, 2018. Retrieved December 31, 2018.
- ^ a b Tunison, John (February 28, 2022). "Ex-leader of The Geek Group gets prison for Bitcoin money-laundering scheme". MLive. Retrieved May 11, 2025.
- ^ "Exempt Organizations". IRS. Retrieved 17 September 2017.
- ^ "Does Group Owe Taxes". AM 590 WKZO. Retrieved 2016-10-08.
- ^ By (16 March 2010). "Tax-exempt Geek Group hit with huge tax bill". Hackaday. Retrieved 2016-10-08.
- ^ "Geek Group Inc". GuideStar. 20 June 2018. Archived from the original on 20 June 2018.
- ^ Radigan, Mary (17 January 2011). "Geek Group is renovating former West YMCA as new headquarters". MLive. Grand Rapids Press. Retrieved 17 September 2017.
- ^ "Fire At The Geek Group". Hack A Day. January 3, 2014. Retrieved January 3, 2014.
- ^ "Fire damages Geek Group in Grand Rapids". WZZM13. January 2, 2014. Retrieved January 3, 2014.
- ^ Tunison, John (December 21, 2018). "Grand Rapids tech group raided by feds". MLinve.
- ^ Chris Boden (2024-08-14). The Chris Boden Prison Story - It Gets Better. Retrieved 2025-02-18 – via YouTube.
- ^ "Tech center, once the 'Geek Group,' shuts down for good after raid". mlive. 2018-12-31. Retrieved 2022-02-28.
- ^ Ferguson, Christa (March 6, 2021). "Apartments and more: The vision for Victory on Leonard in Grand Rapids". WOOD-TV. Retrieved May 13, 2025.
- ^ "Geek Group founder discusses criminal investigation". WOODTV.com. 2019-01-06. Retrieved 2022-03-15.
- ^ "Three Defendants Sentenced For Illegal Bitcoin Business". U.S. Attorney's Office, Western District of Michigan (Press release). United States Department of Justice. 1 March 2022. Retrieved May 11, 2025.
- ^ Agar, John (October 18, 2021). "Ex-leader of The Geek Group pleads guilty in Bitcoin money-laundering scheme". MLive.
- ^ Dwyer, Dustin (1 February 2010). "Geek's Dream Lab Could Create Jobs in Michigan". NPR.
- ^ "thegeekgroup". YouTube. Retrieved 2018-06-20.