ALEXANDRIA, Va. – In a stunning revelation, Ramil Ventura Palafox, the Chief Executive Officer of Praetorian Group International (PGI), has pleaded guilty to wire fraud and money laundering for orchestrating a massive Ponzi scheme that bilked over 90,000 investors worldwide out of more than $200 million.
According to court documents, the 60-year-old dual citizen of the United States and the Philippines, Palafox, falsely claimed his company was engaged in substantial bitcoin trading, promising daily returns as high as 3%. However, PGI’s operations were not on a scale that could support such yields. The scheme involved paying off investors with their own money or funds from new investors.
From December 2019 to October 2021, the scheme attracted $201 million in investments, including $30.295 million in fiat currency and 8,198 bitcoins valued at nearly $171.5 million. The actual losses to investors were estimated at over $62.692 million.
Palafox was found to have mislead investors through a fraudulent website that misrepresented the value of their investments, leading them to believe they were profitable and secure. His extravagant personal spending included $3 million on luxury vehicles, penthouse suites, and high-end clothing and furnishings, all at the expense of his victims.
Scheduled for sentencing on February 10, 2026, Palafox faces up to 40 years in prison. He has agreed to pay $62.692 million in restitution as part of his plea agreement. Assistant U.S. Attorneys Jack Morgan, Zoe Bedell, and Annie Zanobini are prosecuting the case.
Victims of the Ponzi scheme may be entitled to restitution payments, with more information available at here. Related court documents can be found on the website of the District Court for the Eastern District of Virginia or Pacer by searching Case No. 1:25-cr-52.
This release was revised on September 19, 2025, to update the sentencing date.
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Key Facts
- State: Virginia
- Agency: DOJ USAO
- Category: Fraud & Financial Crimes
- Source: Official Source ↗
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