Authorities have charged Aiden Pleterski, known as the "Crypto King," and Colin Murphy with serious financial crimes following a joint investigation by the Durham Regional Police Service (DRPS) and the Ontario Securities Commission (OSC).
The charges result from Project Swan, an extensive probe into alleged fraudulent activities and money laundering.
Pleterski, from Whitby, Ontario, faces one count of fraud over $5,000 under section 380(1)(a) of the Criminal Code and one count of laundering proceeds of crime under section 462.31(1)(a) of the Criminal Code. A publication ban, under subsection 517(1) of the Criminal Code, restricts details regarding the allegations against Pleterski.
Murphy, from Oshawa, Ontario, faces one count of fraud over $5,000 under section 380(1)(a) of the Criminal Code. Authorities released Murphy on an undertaking following his arrest while they held Pleterski for a bail hearing.
The DRPS and OSC, with significant support from the Toronto Police Service, the York Regional Police, and the Financial Transactions and Reports Analysis Centre of Canada (FINTRAC), conducted Project Swan. This joint task force combined resources to address the complex nature of the alleged crimes. According to the OSC, the inter-agency cooperation aims to combat financial fraud and money laundering.
The trustee overseeing Pleterski’s bankruptcy, Grant Thornton, sought to prevent Pleterski from being discharged from bankruptcy until he accounted for over $4.5 million in unaccounted assets and funds. The trustee's latest report highlighted that Pleterski has not provided evidence of a $360,000 watch he purchased and has yet to account for over $2.7 million worth of cryptocurrency. Additionally, he spent more than $500,000 on digital asset platforms, primarily for online video games.
The trustee's report sheds light on Pleterski’s spending habits, revealing he used $13,000 worth of Scene points from his credit card for luxury hotels and flights to Los Angeles and Australia. Despite claiming that all other expenses were paid by third parties, Pleterski has not provided evidence to support these claims.
The court will hear Pleterski’s bankruptcy discharge hearing on June 6, and he will appear in court for his criminal charges on June 10.