Ramil Ventura Palafox, the founder and CEO of Praetorian Group International (PGI), has entered a guilty plea for charges of wire fraud and money laundering in a Virginia court case.
According to a statement from the Justice Department (DOJ), Palafox, holding dual citizenship in both the United States and the Philippines, allegedly orchestrated and promoted a fraudulent cryptocurrency investment plan that deceived a significant number of investors.
Officials claim that PGI advertised a
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However, the investment operation was not generating profit through genuine trading activities. Funds from new investors were being used to compensate previous investors, operating as a Ponzi scheme.
Palafox’s sentencing is scheduled for February 3, 2026. He potentially faces a maximum prison term of 40 years, though actual sentences are often less. As part of his plea agreement, he has committed to repaying $62.7 million to defrauded investors.
From late 2019 to late 2021, PGI allegedly collected a minimum of $201 million. This includes more than $30 million in traditional currency and over 8,100 Bitcoin, valued at approximately $171 million at the time.
Instead of using the money for intended trading purposes, a significant portion of the funds was diverted for Palafox’s personal enrichment. This included around $3 million spent on acquiring 20 luxury automobiles and over $6 million invested in high-end properties located in cities like Las Vegas and Los Angeles.
It is believed that more than 90,000 individuals invested in the scheme. The Department of Justice (DOJ) has confirmed losses totaling at least $62 million.
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