According to CoinDesk, two Canadian men have been arrested and charged with fraud for allegedly defrauding investors of approximately $30 million USD in a cryptocurrency and foreign exchange investment scheme. The accused, 25-year-old Aiden Pleterski, self-proclaimed 'Crypto King', and his associate, 27-year-old Colin Murphy, face charges of fraud and money laundering. The Ontario Securities Commission announced these charges, which are the culmination of a 16-month investigation named Project Swan by Canadian authorities.
Between 2021 and 2022, Pleterski and his company, AP Private Equity Limited, reportedly received around $40 million CAD ($30 million USD) from approximately 160 investors to invest in the crypto and foreign exchange markets. Some investors even took out loans to invest with Pleterski. However, the trustee overseeing the related ongoing bankruptcy case found that Pleterski only invested 2% of the funds received and spent at least $16 million on personal luxuries, including over 10 luxury cars, international travel, and renting a $8.4 million lakefront mansion.
In December 2022, Pleterski was allegedly kidnapped, beaten, and tortured by five victims of his supposed Ponzi scheme. His alleged abductors held him for three days, subjected him to torture, and demanded a $3 million ransom from his landlord-turned-mentor for his release. Four of the alleged perpetrators have since been arrested and charged with kidnapping.
Pleterski was released on $100,000 bail on Tuesday, signed for by his parents. His bail conditions require him to surrender his passport, refrain from posting anything on social media about financial matters, and not buy or trade crypto. The Ontario Securities Commission announced that it will release further information on the case soon.