PGI CEO Sentenced to 20 Years in $200M Bitcoin Ponzi Scheme
The US Department of Justice introduced that Ramil Ventura Palafox, the CEO of Praetorian Group International (PGI), was sentenced to 20 years in jail.
Prosecutors said that Palafox operated a $200 million Bitcoin-based Ponzi scheme that defrauded greater than 90,000 buyers the world over.
Bitcoin Fraud Case
According to court docket paperwork, Palafox, the 61-year-old twin citizen of the United States and the Philippines, owned and managed PGI and served as its chairman, chief govt officer, and chief promoter. Prosecutors said Palafox falsely claimed that PGI was engaged in Bitcoin buying and selling and marketed the agency as a multi-level advertising funding alternative. He promised buyers every day returns starting from 0.5% to 3%.
In actuality, PGI was not buying and selling Bitcoin at a scale able to producing these returns, and investor payouts had been funded utilizing victims’ personal deposits or cash from new buyers. From December 2019 via October 2021, a minimum of 90,000 buyers invested greater than $201 million in PGI, together with roughly $30.3 million in fiat foreign money and a minimum of 8,198 BTC, price round $171.5 million on the time.
As a results of the scheme, investor losses rose to over $62 million. Court data reveal that Palafox created an internet PGI portal that allowed buyers to monitor what he represented as their funding efficiency. Between 2020 and 2021, the web site constantly and fraudulently displayed positive factors, which led victims to consider their investments had been worthwhile and safe.
Luxury Cars, Mansions, and Lies
Palafox spent roughly $3 million on 20 luxurious autos, together with fashions from Porsche, Lamborghini, McLaren, Ferrari, BMW, and Bentley. He additionally spent about $329,000 on penthouse suites at a luxurious lodge chain and bought 4 houses in Las Vegas and Los Angeles, estimated to be greater than $6 million.
(*20*) spending included roughly $3 million on luxurious clothes, watches, jewellery, and residential furnishings from retailers reminiscent of Louboutin, Neiman Marcus, Gucci, Versace, Ferragamo, Valentino, Cartier, Rolex, and Hermès. Prosecutors stated Palafox additionally transferred a minimum of $800,000 in fiat foreign money and 100 BTC, which was then equal to $3.3 million, to a member of the family.
The Justice Department stated PGI victims could also be eligible for restitution.
Separately, PGI Global’s UK entity was shut down by the United Kingdom High Court again in 2022. In April 2025, the US Securities and Exchange Commission (SEC) charged Palafox with orchestrating the large Ponzi scheme.
The submit PGI CEO Sentenced to 20 Years in $200M Bitcoin Ponzi Scheme appeared first on CryptoPotato.
