Denver Pastor Says God Planned $300K Home Renovation Using Money from Crypto Scam

a magnifying lens highlighting the word "fraud" in a newspaper

Denver pastor Eli Regalado is currently facing a lawsuit filed by Colorado’s Securities Commission, alleging that he defrauded investors through the sale of the INDXcoin cryptocurrency.

Defalcation, Theft and Fraud

Regalado openly acknowledges that investors are facing difficulties cashing out their funds due to issues with their failed exchange technology. He mentions waiting for a divine intervention to resolve the situation. Identifying themselves as ordained ministers with Destiny Churches and Ministries International, the Regalados, who have a Victorious Grace Church online presence, are accused of misusing INDXcoin funds for personal expenses like a Range Rover and luxury items, despite promises to help widows and orphans.

Regalado admits to the charges, revealing that he and his wife pocketed $1.3 million. He clarifies that a substantial portion went to the IRS, while hundreds of thousands were used for a home renovation they believed was God’s instruction. Expressing hope for a divine miracle, Regalado remains optimistic about investors recovering their money, despite the prosecution’s claim that they knowingly sold a cryptocurrency without a clear exit plan.

Supportive Comments From Investors

Investor responses in the comments section express strong support for Regalado, commending his bravery in addressing the situation and placing trust in God’s guidance.

One commenter asserts that God will receive glory in this challenging situation, and Regalado concurs with this sentiment.

Another commentator applauds Regalado for coming forward and discourages gossip, emphasizing that everyone already knows the truth. The commenter expresses faith in God’s ongoing work, encouraging Regalado to persevere, stay strong, and lean on others for support.

Judge Katherine Polk Failla questions SEC’s regulations

Despite this support, following a civil complaint, Judge David Goldberg has taken action by freezing the bank accounts of the Regalados and their affiliated businesses at the request of state regulators. The couple is set to appear in Colorado District Court on January 29th to address the charges against them.

The broader context involves recent legal developments in the cryptocurrency space, including the SEC’s inquiry into the classification of specific cryptocurrencies as securities. In a separate case involving the SEC and Coinbase, a federal judge questions the extent of the commission’s regulatory authority and expresses concerns about the potential overreach of its argument. U.S. District Judge Katherine Polk Failla specifically raises questions about the broad applicability of the SEC’s standards, particularly in markets beyond traditional securities

Author: Dominion

Domie loves writing and building cool stuffs.