Pursuant to a granted seizure warrant on January thirty first, 2025, the DOJ has moved to grab 119.65 bitcoin from Juan Carlos Reynoso.
Reynoso is a serial promoter of MLM Ponzi schemes however, as of but, particulars surrounding the case tied to the seizure are unclear.
Right here’s what we do know:
After confirming Reynoso’s legal professional would settle for service, the DOJ served Reynoso’s legal professional with the seizure warrant the identical day it was granted. This occurred at 1:24 pm.
The seizure warrant gave Reynoso 24 hours to show over 119.65 bitcoin from a crypto pockets he managed to a DOJ pockets.
JUAN CARLOS REYNOSO shall not impede, impede or intervene with the seizure of the SUBJECT ASSETS.
The SUBJECT ASSETS should be transferred, inside 24 hours from the date of service of this seizure warrant …
Reynoso’s crypto pockets had been recognized following “information obtained from digital units seized from Reynoso” in New Jersey in June 2024.
The 24 hour switch interval got here and went. This prompted the DOJ to ship a follow-up e mail to Reynoso’s legal professional on February 1st.
As per a February seventh contempt movement filed by the DOJ, Reynoso’s legal professional emailed the DOJ again on February third;
he had not offered a replica of the Seizure Warrant to his consumer instantly after he had accepted service of it on Friday, January 31, as a result of he was not conscious that the matter was “time-sensitive” or “that the warrant imposed any obligation on me or my consumer.”
Reynoso’s legal professional claims he opened the e-mail containing the warrant on February 2nd. He didn’t affirm service however did state he meant to file a movement to quash the subpoena.
There doesn’t look like any additional communication between Reynoso’s legal professional and the DOJ.
In the meantime an investigation by the DOJ revealed, starting January thirty first, Reynoso started liquidating the pockets containing the 119.65 bitcoin.
As of February 5, 2025, all of the Topic Belongings had been offloaded.
The road worth of 119.65 bitcoin as of February fifth was roughly $11.7 million USD. I can’t say for sure however this might symbolize Reynoso’s haul from numerous MLM Ponzis he’s promoted through the years.
This brings us to the DOJ’s February seventh contempt movement, whereby the DOJ requested a Puerto Rico District Courtroom maintain Reynoso in contempt.
Reynoso’s legal professional filed a movement in search of to quash the the arrest warrant on February 18th.
Within the movement Reynoso’s legal professional argued forcing Reynoso to forfeit the bitcoin violated Reynoso’s Fifth Modification proper in opposition to self-incrimination. Reynoso’s legal professional additionally argued service of the subpoena was improper.
On March third the courtroom dominated in opposition to Reynoso and held him to be in contempt.
Lower than two hours after the cellphone dialog between protection counsel and [the] AUSA … Reynoso moved the topic property to a different Bitcoin pockets.
With instinct extra correct than the Oracle at Delphi, Reynoso once more transferred the topic property to a 3rd Bitcoin pockets on February 1, 2025 simply after midnight.
He then despatched the topic property to a fourth and fifth Bitcoin pockets.
These frenzied transfers occurred inside the 24-hour timeframe to adjust to the seizure warrant.
At finest, these transfers are the results of a serendipitous happenstance: a coincidence that inadvertently rendered the seizure warrant ineffectual.
The temporal proximity between discover of the warrant and motion of the topic property strongly suggests, nevertheless, that Reynoso tried to impede justice by evading a duly issued order of the Courtroom.
The courtroom discovered Reynoso’s legal professional’s arguments about service and Fifth Modification rights have been “unavailing”.
Reynoso is irritating the seizure of 119.65 BTC by refusing to switch the topic property, an act that requires minimal time and effort.
Consequently, his argument in opposition to the switch mandate is unpersuasive. Switch of the 119.65 BTC will reveal no extra data to legislation enforcement officers.
For the explanations set forth above, america’ request to carry Juan Carlos Reynoso in civil contempt is GRANTED.
Reynoso is HELD IN CIVIL CONTEPMT of the seizure warrant. Reynoso’s movement to quash is DENIED.
In an try to implement compliance with the seizure warrant, the courtroom has imposed a $10,000 day by day effective on Reynoso for non-compliance.
Reynoso SHALL be fined $10,000.00 for each day that he violates the seizure warrant from the date that this Opinion and Order is revealed. Failure to conform could end in extra fines and/or incarceration.
Between March 4th and March thirteenth, Reynoso is already up for $90,000 in fines and counting.
As to what prompted the seizure, I wasn’t ready confirm. The courtroom’s order and numerous filings present another case numbers however these are normal numbers and never tied to any case.
That mentioned I did undergo every publicly listed case matching the numbers. I didn’t acknowledge any of the names in order that was successfully a dead-end.
Primarily based on what has been disclosed, it seems Reynoso is tied to a legal case that’s probably sealed. That is mirrored within the associated circumstances part of the contempt case docket;
Case in different courtroom: In Re: Seizure Warrant *SEALED*
It will observe that the case the seizure warrant was issued for (I consider the sealed seizure warrant is tied to the June 2024 FBI seizure, which is why I couldn’t discover it), would even be sealed.
Potential candidates for legal exercise tied to Reynoso are iComTech, OmegaPro, TeaMiner and/or cartel exercise in Mexico.
iComTech was an MLM crypto Ponzi whose proprietor was sentenced to 10 years in jail in October 2024.
Reynoso was CEO of iComTech however wasn’t publicly charged.
OmegaPro was an MLM crypto Ponzi which collapsed in November 2022. One OmegaPro co-founder was arrested in Turkey final yr.
Reynoso was an OmegaPro’s Common Supervisor for Latin America.
TeaMiner was an MLM crypto Ponzi launched in late 2023. The collapsed rip-off was fronted by Reynoso and his son Juan Reynoso Jr.
In March 2023 Mexican authorities arrested Reynoso in reference to suspected cartel exercise tied to Black Wall Avenue Capital.
A courtroom ordered Reynoso’s launch a number of months later in June 2023.
Reynoso is a Peruvian nationwide whose standing stays unclear at time of publication. Pending any additional updates we’ll hold you posted.