Canada’s self-proclaimed “Crypto King” and his associate have been charged with fraud and money laundering for allegedly swindling investors out of $30 million USD.
In a crypto and forex Ponzi scheme spanning between 2021 and 2022, around 160 investors gave Aiden Pleterski and his company approximately $40 million CAD to perform investments on their behalf. According to reports, some of these investors even took out loans to afford the investment.
The criminal charges levied against the two defendants are the result of a 16-month-long investigation that the Canadian authorities have dubbed “Project Swan.” The charges were brought up during a bankruptcy case tied to the aforementioned scheme.
The agent conducting and overseeing the bankruptcy case revealed that Pleterski invested a mere 2% of the total money he was given. Furthermore, he spent at least $16 million on his personal expenses – luxury cars, international travel, renting a $8.4 million lakefront mansion, among others.
According to a report from CBC, when questioned during the bankruptcy proceedings, Pleterski claimed he was just a “20-something-year-old kid” who was unorganized and didn’t keep records of his finances or payments.
The Grim Consequences
In late 2022, Pleterski was allegedly kidnapped, beaten, and tortured by 5 of the investors who entered his alleged Ponzi scheme. The purported abductors held him captive for 3 days before releasing him in exchange for a $3 million ransom.
After his eventual release, a 12-minute video of him appearing swollen and bruised while apologizing to investors was released and posted on social media. Four of the five purported abductors have been arrested and charged with kidnapping.
Last Tuesday, Pleterski was released on $100,000 bail signed by his parents. His bail conditions require refraining from social media and crypto exchanges and surrendering his passport. The Ontario Securities Commission is set to release further information shortly.
