Pavel Ramon Ruiz Hernandez, Conspiracy to Commit Wire Fraud, Florida 2022

MIAMI, FL – In a harsh blow to those who prey on vulnerable investors, Pavel Ramon Ruiz Hernandez, a/k/a ‘Pavel Ruiz,’ age 30, of Broward County, Florida, was sentenced to 110 months in prison for conspiring to commit wire fraud in connection with a Ponzi scheme associated with MJ Capital Funding, LLC.

According to court records, Ruiz Hernandez conspired with others to fraudulently solicit money from investors, promising them a return on investment through merchant cash advances. However, the scheme was a ruse, with Ruiz Hernandez and his co-conspirators using new investor funds to pay existing investors, while misappropriating millions of dollars for their own personal use.

Ruiz Hernandez and his co-conspirators falsely told investors that their money would be used to fund MCAs and that investor returns would be paid from the profits of MJ Capital Funding’s MCA business. However, the company made few MCAs and failed to earn anywhere near the profits needed to pay the investor returns and principal promised to investors.

As a result, Ruiz Hernandez and his co-conspirators paid investor returns by running a large Ponzi fraud scheme, paying existing investors using new investor funds while misappropriating millions of investor dollars for their own personal use and benefit. In his plea, Ruiz Hernandez admitted that he and his co-conspirators falsely and fraudulently obtained at least approximately $42,942,000 from investors.

The scheme was uncovered by the FBI in Miami, who investigated Ruiz Hernandez and his co-conspirators. The case was prosecuted by Assistant U.S. Attorney Eric E. Morales of the Southern District of Florida.

Ruiz Hernandez’s sentencing marks a significant victory for those seeking justice for victims of Ponzi schemes. His 110-month prison sentence serves as a reminder that those who engage in such activities will be held accountable for their actions.

Mandatory Facts: Pavel Ramon Ruiz Hernandez, a/k/a ‘Pavel Ruiz,’ age 30, of Broward County, Florida, was sentenced to 110 months in prison for conspiring to commit wire fraud in connection with a Ponzi scheme associated with MJ Capital Funding, LLC. The exact date of Ruiz Hernandez’s sentencing is not specified in the press release. The crime date is March 2021 to August 12, 2021. Ruiz Hernandez’s sentence includes 110 months in prison, followed by three years of supervised release. The total amount of money obtained from investors is at least approximately $42,942,000.

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