A Denver pastor who said God told him to sell cryptocurrencies that cannot be redeemed for cash was used by prosecutors to sell digital coins that were “virtually worthless” and use the proceeds to support a “luxury lifestyle.” He and his wife are facing a civil lawsuit for doing so. Lifestyle. ”
Pastor Eligio Regalado and his wife, Caitlin Regalado, were charged Thursday in a civil lawsuit filed in Denver District Court by the Colorado Attorney General's Office and Colorado Bureau of Securities. stated in a statement. According to the agency, the couple created, sold and sold a virtual currency called INDX coin through a virtual currency exchange, and also operated the exchange.
According to prosecutors, the couple, who had no experience in cryptocurrency exchanges, sold INDX coins to Christians in Denver and collected nearly $3.2 million from more than 300 people who purchased them between June 2022 and April 2023. . The Colorado Securities Division said it was their money.
Regalado and Ms. Regalado did not immediately respond to requests for comment Tuesday. It is unclear whether they have lawyers.
in Video addressing complaints Regalado said last week that he didn't want investors to become “furious” at prosecutors.
“They have to do this,” he said. “So, if you think about it, we sold a cryptocurrency with no clear exit. did.”
Regalado said investors were unable to withdraw their funds due to issues with the cryptocurrency exchange.
Regalado also said in the video that he got into the crypto business because “the Lord” told him to. He said God once asked him to do it in a dream, and he and his wife agreed to spend the money on “renovations to the house that the Lord had asked us to do.”
Regalado said he still hopes investors will get their money back and believes “God will work a miracle in the financial sector.”
Tan Chan, director of the Colorado Securities Bureau, said in a statement: Regalado took advantage of the trust and faith of his own Christian community. ”
“He sold them essentially worthless cryptocurrencies with wild promises to make them rich,” Chan said.
The Colorado Attorney General's Office declined to comment, citing ongoing litigation.
Records show Mr. Regalado led Victorious Grace Church. The church's website had been taken down as of Tuesday. Regalado also said in the video that in 2021, the “Lord” told him and his wife to get out of the marketing company he was running and start “something new.” Ta.
Of the more than $3 million the couple has raised through INDXcoin, Regalado said he and his wife pocketed about $1.4 million. About $500,000 of that money went to the Internal Revenue Service, and “hundreds of thousands of dollars” went toward renovating the house.
Regalado said the business “started to fall apart” about nine months ago, adding that he didn't know what he was doing.
“One of two things happened,” Regalado said. “One, I misheard God, and all of you who have come praying, you are too, and two, God is not finished with this project yet. It means I'm going to keep going.'' To do new things. ”
Prosecutors said they are seeking damages to recover losses to investors. Regalado said in the video that the couple intends to sue and their “goal” is for investors to get some of their money back.
