Key Takeaways:
Canadian police have charged self-proclaimed “Crypto King” and social media personality Aiden Pleterski and his associate Colin Murphy with fraud and money laundering following a lengthy 16-month investigation into a $30 million crypto Ponzi scheme.
Self-claimed ‘Crypto King’ Aiden Pleterski Charged with Fraud and Money Laundering
The 25-year-old is accused of defrauding investors by promising high returns on crypto and forex investments but allegedly used the millions sourced to fund his lavish rich playboy lifestyle.
The Ontario Securities Commission (OSC) and the Durham Regional Police Service announced that Pleterski, who hails from Whitby, Ontario, has been charged with one count of fraud over 5,000 Canadian dollars ($3,666) and money laundering. Meanwhile, his associate Murphy, a 27-year-old from Oshawa, is also facing similar charges.
Fraud in amounts over C$5,000 is punishable by up to 14 years in prison. Both the OSC and the police department declined to disclose the financial details behind the charges they imposed on Pleterski, citing a publication ban. However, they did mention that his fraudulent activities had possibly continued through February 2024.
The police officially launched their investigation of Pleterski and his company, AP Private Equity, in July 2022 following numerous complaints. Peter Moreira, the chief of Durham Police, said in a press conference that the investigation with more than 40 court orders sought and meticulous analysis of financial documents took over 18 months to conclude.
Pleterski Declared Bankruptcy in August 2022 After Mishandling C$40 Million in Investor Funds
That same month, the Ontario Superior Court ordered that the assets of Plertski and his company – AP Private Equity – be frozen, forcing him to declare bankruptcy.
AP Private Equity declared bankruptcy in August 2022, and the bankruptcy trustee handling the company found that Pleterski had raised C$41.5 million from 160 investors between 2021 and 2022, investing only 1.6% of that sum. He allegedly spent $15.9 million on a lavish millionaire lifestyle buying multiple luxury cars, including a Lamborghini, two McLarens, and two BMWs, a luxurious lakeside mansion, and renting private jets for foreign trips.
Despite declaring himself insolvent, Pleterski continued to lead a jet-set lifestyle, which led to trustees requesting that he be jailed. However, things took a dark turn in December 2022, when the conman was kidnapped, beaten, and tortured by an investor and his accomplices. They demanded a ransom of C$3 million in exchange for his release.
Following his release, a bruised and swollen Pleterski uploaded a video on social media apologizing to his investors. The Police arrested the five individuals involved in the kidnapping in Toronto last July.
Last November, Canadian basketball star Shai Gilgeous-Alexander won a court battle to reverse the purchase of a $8.4 million mansion in Burlington, Ontario after he accused the sellers of failing to inform him that Pleterski had been living there earlier and even received threatening visits from angry investors.
Pleterski Facing 14 Years Behind Bars for Fraud and Money Laundering
The crypto conman was arrested on May 14 and let go on the same day after his parents Dragan and Kathy Pleterski provided the C$100,000 bail money. Pleterski’s close associate Colin Murphy faces charges for soliciting investments and falsely claiming to receive “large weekly profits through savvy investments”. He was released on a promise to appear in court.
The Canadian ‘Crypto King’ could face up to 14 years behind bars, if found guilty of his crimes.
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