Peruvian National Pedro Jaramillo Busted in $1.2M Ponzi Scheme

Peruvian national PEDRO JARAMILLO, a/k/a “Enrique Jaramillo,” is behind bars in Manhattan, charged with commodities fraud, wire fraud, and money laundering after allegedly running a $1.2 million Ponzi scheme that preyed on more than two dozen investors—mostly retirees and professionals from Peru and across Latin America. JARAMILLO promised sky-high returns from short-term commodity futures contracts but instead funneled investor cash to himself, leaving victims with nothing but broken promises and drained life savings.

JARAMILLO, who presented himself as a Wall Street insider, lured investors through a polished façade: a real office on Wall Street, glossy promotional materials, and a slick YouTube video set to Frank Sinatra’s “New York, New York.” In the video, he styled himself a “proven winner” and “trusted partner,” falsely claiming each client would have an individually managed, federally insured account protected against fraud and brokerage failure. None of it was true.

According to the complaint unsealed in Manhattan federal court, JARAMILLO claimed he had a partnership with a major international investment bank—referred to as the “Global Investment Bank”—and guaranteed investors a 25 percent return every 90 days. In reality, he had no such partnership, never invested the funds as promised, and instead siphoned off the money through cash withdrawals, debit card purchases, and offshore wire transfers. Investor funds not stolen outright were used to pay earlier investors in classic Ponzi fashion.

The scheme ran from at least January 2014 through December 2016. During that time, JARAMILLO maintained the illusion of legitimacy, holding meetings at his Wall Street Office and using theatrical sales pitches to keep the money flowing. But behind the scenes, there were no real trades, no real accounts—just a shell game designed to enrich JARAMILLO while devastating families who believed they were securing their financial futures.

JARAMILLO was arrested this morning and appeared before U.S. Magistrate Judge Ronald L. Ellis, who ordered him detained. U.S. Attorney Preet Bharara stated: “Pedro Jaramillo allegedly lured customers through slick promotional material, selling them investment accounts with guaranteed returns. But as alleged, what he sold them was a false bill of goods. Jaramillo allegedly used his investors’ money for his own personal use and to pay back other duped investors. Thanks to the dedicated work of the FBI, Jaramillo will now have to answer for his crimes.”

FBI Assistant Director-in-Charge William F. Sweeney Jr. added: “As alleged, Jaramillo more than breached the trust of his would-be victims by engaging in activity that caused them to lose their life savings, retirement funds, and more. When he took money from his clients, he led them to believe it would be invested for their benefit. In the end, their rate of return was nothing short of heartache. Financial crimes have a negative impact on the economy and individuals alike. We will continue to investigate those who engage in these illegal acts to help prevent future fraudulent activity in the financial markets.”