The authorities in Canada have arrested Aiden Pleterski, who called himself the “Crypto King,” and charged him with fraud and money laundering. He allegedly swindled investors out of CAD 40 million (about USD 30 million) with his crypto and foreign exchange Ponzi investment scheme.
The Fall of “Crypto King”
The announcement yesterday (Wednesday) by the Ontario Securities Commission (OSC) detailed that, along with the 25-year-old Pleterski, the authorities also charged his associate, 27-year-old Colin Murphy, with fraud. The arrest and the charges came after a 16-month-long joint investigation by the OSC and the Durham Regional Police Service (DRPS). Dubbed Project Swan, the investigation started amid the bankruptcy case tied to the investment scheme that gathered media attention.
“The DRPS and the OSC urge investors to always check the registration of any person or business trying to sell them an investment or provide investment advice,” the announcement stated.
Meanwhile, Pleterski has received bail against a CAD 100,000 bond signed by his parents. However, he needed to surrender his passport and must refrain from posting about financial matters on social media. He was further ordered not to trade cryptocurrencies.
A Luxurious Life with Investors’ Money
Pleterski started to operate the investment scheme under his company, AP Private Equity Limited, and received about CAD 40 million (about USD 30 million) from approximately 160 investors between 2021 and 2022. He promised to invest the proceeds on behalf of the investors in crypto and forex markets.
According to the trustee overseeing the bankruptcy case, Pleterski invested only 2 percent of the proceeds he collected from the investors and misappropriated the rest, spending at least CAD 16 million on luxury cars, international travel, and even renting a lakefront mansion.
View this post on Instagram
He was also a small-time live streamer and showcased his luxurious lifestyle on social media. During the bankruptcy process, the administrators seized two McLarens, two BMWs, and one Lamborghini.
Interestingly, Pleterski was also kidnapped by five victims of his alleged Ponzi scheme in December 2022 and then beaten and tortured during his three-day-long captivity. Following his release, he posted a 12-minute-long apology video on social media for his investors, which his lawyer later said was coerced. The Canadian authorities already arrested four of the alleged perpetrators involved in Pleterski’s kidnapping and charged them.
This article was written by Arnab Shome at www.financemagnates.com.
You can get bonuses upto $100 FREE BONUS when you:
💰 Install these recommended apps:
💲 SocialGood - 100% Crypto Back on Everyday Shopping
💲 xPortal - The DeFi For The Next Billion
💲 CryptoTab Browser - Lightweight, fast, and ready to mine!
💰 Register on these recommended exchanges:
🟡 Binance🟡 Bitfinex🟡 Bitmart🟡 Bittrex🟡 Bitget
🟡 CoinEx🟡 Crypto.com🟡 Gate.io🟡 Huobi🟡 Kucoin.
Comments