Pastor Accused Of Pushing $6M Ponzi Scheme
The Commodity Futures Trading Commission (CFTC) is aiming to recover nearly $6 million, plus penalties, from a Washington state pastor accused of orchestrating a fraudulent cryptocurrency scheme that misled over 1,500 Hispanic individuals, including members of his own church. The scheme, described by authorities as a Ponzi scheme, is alleged to have run from November 2021 to December 2023.
In a civil complaint filed on Monday in the Eastern District of Washington, the CFTC accuses former pastor Francier Obando Pinillo, who operated under names like Solanofi, Solano Partners Ltd., and Solano Capital Investments, of targeting vulnerable, inexperienced victims with little knowledge of digital assets or trading. The CFTC claims that Pinillo’s solicitations, mostly in Spanish, allowed him to exploit his position as a pastor in a Spanish-speaking church in Pasco, Washington, to convince his congregation to invest in the fraudulent scheme.
Pinillo allegedly attracted victims by promising them guaranteed returns of up to 34.9% compounded monthly and used religious connections to build trust. Presentations showed how a $1,000 investment could grow to nearly $1 million in just two years. The scheme also involved a purportedly Christian-themed cryptocurrency token, “ShekkelCoin,” designed to lure more investors. Pinillo charged victims $1,500 to access a website for the Solanofi scheme and an additional $1,500 for alleged legal efforts to recover investments from a bankrupt crypto-exchange.
Despite promises that investors would be able to withdraw their funds after three months, Pinillo failed to deliver. The CFTC alleges that the money he collected was misappropriated, with payments to earlier investors coming from funds contributed by later investors, a hallmark of a Ponzi scheme. The CFTC is seeking restitution for the victims, along with other penalties, including civil monetary fines, asset forfeiture, and a permanent injunction to prevent future violations of the Commodity Exchange Act.