Crypto Kingpin in Canada Nabbed: Faces Fraud Charges Over Alleged $30M Ponzi Scheme
Two Canadian men have been apprehended and accused of defrauding investors out of $40 million CAD ($30 million USD) through a purportedly fraudulent crypto and foreign exchange investment scheme.
Aiden Pleterski, a self-described “Crypto King,” aged 25, faces charges of fraud and money laundering related to an alleged Ponzi scheme. His associate, 27-year-old Colin Murphy, has also been charged with fraud, according to a statement from the Ontario Securities Commission on Wednesday.
These criminal charges, which are the culmination of a 16-month probe known as Project Swan, come amid an ongoing bankruptcy proceeding related to the alleged scheme that has garnered significant media attention across Canada.
Court records and local news sources reveal that between 2021 and 2022, approximately 160 investors entrusted Pleterski and his firm, AP Private Equity Limited, with around $40 million CAD ($30 million USD) to invest in cryptocurrency and foreign exchange markets on their behalf. Reports indicate that some investors even took out loans to fund their investments with Pleterski.
The trustee managing the bankruptcy process concluded that Pleterski invested a mere 2% of the received funds and spent at least $16 million on personal indulgences, including the purchase of over 10 luxury vehicles, international travel, and leasing an $8.4 million lakefront mansion for $45,000 monthly. Authorities have confiscated various high-end vehicles during the bankruptcy process, including two McLarens, two BMWs, and a Lamborghini.
Pleterski, who also dabbles in livestreaming, posted videos of his lavish lifestyle, which included frequent vacations to cities such as Los Angeles, London, and Miami, and driving rented luxury cars. In one clip, Pleterski showcased his assembly of a Lego model of the Titanic and estimated his expenditure on Legos since 2021 to be around $150,000.
Throughout the bankruptcy proceedings, Pleterski described himself as a “20-something-year-old kid” and admitted to creditors that he lacked organizational skills and did not maintain records of his financial transactions, as reported by CBC.
Alleged Kidnapping Incident
In December 2022, Pleterski was reportedly kidnapped, beaten, and tortured by five individuals who were supposedly victims of his alleged Ponzi scheme. Reports indicate that his captors held him for three days, subjecting him to torture before demanding a $3 million ransom from his landlord-turned-mentor for his release.
Pleterski was eventually freed, but a 12-minute video featuring him, visibly swollen and bruised while apologizing to investors—later described by his lawyer as coerced—surfaced on social media.
Authorities have arrested and charged four individuals in connection with the kidnapping incident.
NBA player Shai Gilgeous-Alexander, originally from Toronto, had purchased the $8.4 million lakefront mansion that Pleterski once occupied. However, he sought legal action to rescind the purchase after discovering its link to Pleterski. Reports indicate that Gilgeous-Alexander and his girlfriend were visited by a man searching for Pleterski and later became aware of threats to burn down the property.
Future Proceedings for Pleterski
Pleterski was released on $100,000 bail on Tuesday, which was secured by his parents, as noted in a CBC report on Wednesday. The conditions of his bail mandate that he surrender his passport, abstain from posting any financial matters on social media, and refrain from buying or trading cryptocurrency.
The Ontario Securities Commission announced that additional details about the case would be released on Thursday.
