The Commodity Futures Trading Commission (CFTC) has filed a complaint against Francier Obando Pinillo, a pastor based in Washington state, alleging his involvement in a $6 million cryptocurrency Ponzi scheme. According to the complaint, the scheme affected over 1,500 individuals, many of whom were members of his congregation.
Allegations and Misrepresentation
The CFTC’s complaint claims that Pinillo presented himself as the CEO of Solanofi, Solano Partners Ltd., and Solano Capital Investments. These entities purportedly operated within a “Solano ecosystem,” which promised substantial monthly profits of up to 34.9%. Pinillo allegedly used social media and his position as a pastor to promote these claims.
Customers were reportedly told that profits came from high-performance cryptocurrency trading through an automated bot and advanced software. Additionally, Pinillo offered a staking service for major cryptocurrencies like Bitcoin, Ether, Solana, Tether, and Dogecoin under “Solanofi 2.0,” which allegedly guaranteed profits.
The Reality Behind the Scheme
The CFTC has revealed that the promises made by Pinillo were entirely false. There were no actual trading or staking services. Instead, the funds collected from participants were misappropriated. The scheme also featured a dashboard to display fabricated account statements, giving the illusion of legitimate operations.
To expand the reach of the scheme, Pinillo incentivized users with a 15% referral fee for recruiting others. The CFTC noted that this multilevel marketing strategy primarily targeted individuals with minimal knowledge of digital assets.
Exploitation of Trust
According to the CFTC, Pinillo leveraged his trusted position as a pastor, conducting solicitations predominantly in Spanish to reach his congregation and other Spanish-speaking individuals. This exploitation of trust and language barriers made the fraud even more insidious.
Legal Action and Consequences
The CFTC has sought restitution for the victims, forfeiture of misappropriated funds, a permanent trading ban, and other legal penalties for Pinillo. This case underscores the need for vigilance against fraudulent investment schemes, particularly those exploiting trust and religious affiliations.
