LUCKNOW (CoinChapter) — Denver-based pastor Eli Regalado, facing civil charges for crypto fraud, was spotted at a church conference in Zambia. He was seen while preaching at a church in the country’s capital this week shortly after missing a court hearing on Monday.
Regalado allegedly took advantage of his religious influence to promote a fraudulent cryptocurrency scheme. Through this Ponzi scheme, he defrauded over 300 investors of approximately $3.2 million between June 2022 and April 2023.
Faith-Fueled Fraud — Pastor Regalado’s Crypto Scheme Exposed!
Regalado and his wife, Kaitlyn, launched a cryptocurrency called INDXcoin. They marketed it to members of Regalado’s Christian community. The couple promised investors that the currency was ordained to deliver impressive financial returns. However, according to authorities, INDXcoin was technically flawed and had no real value or liquidity, rendering investments in the coin worthless.
Colorado Securities Commissioner Tung Chan brought a civil suit against Regalado last week. He alleged that the scheme exhibited hallmarks of a Ponzi scheme. While investors piled millions into INDXcoin on the promise of future rewards, authorities said Regalado was secretly funneling money out for personal gain.
Specifically, Chan alleges that of the $3.2 million gathered from investors, Regalado used over $1.3 million for unrelated expenses like IRS payments and home renovations. Regalado admitted these allegations in a public video statement before fleeing the country to Zambia earlier this week.
Regalado Flees to Zambia, Preaching Financial Prosperity
Despite facing court orders freezing his assets and prohibiting the sale of any securities, Regalado appeared at the “Glory Shift Conference” at the Gifted Faith Ministry Church in Lusaka, Zambia, on Monday and Tuesday. Eyewitnesses report he delivered passionate sermons on topics like cryptocurrency and financial prosperity.
“I’m going to speak to you today and I am going to speak to you about finances, and I’m going [to] speak to you about how to make money the Kingdom way.”
the embattled pastor said.
Regalado also spent time touting his apparent God-given “gift” for cryptocurrency. The Colorado Securities Commissioner said Regalado’s statements directly contradicted the fraud allegations. According to the Commissioner, Regalado lacks legitimate cryptocurrency technology or development expertise.
The ongoing civil case aims to recoup investor losses and levy penalties against Regalado. However, securities regulators warn the conduct could potentially warrant criminal charges depending on further investigation into Regalado’s activities promoting INDXcoin to his religious following.
For now, authorities have frozen the remaining assets and prohibited further promotion of INDXcoin.
