In a shocking revelation, the Colorado Division of Securities has filed civil fraud charges against a pastor and his wife, Eli and Kaitlyn Regalado, alleging they orchestrated a cryptocurrency scam that duped investors out of over $3.2 million. Tung Chang, Securities Commissioner for Colorado, disclosed that the couple targeted more than 300 investors with promises of financial prosperity through their crypto venture, INDXcoin.
The Complaint Details
The complaint details that the Regalados exploited the trust of their Christian community, infusing their sales pitches with prayer and biblical quotes, urging investors to have faith in their Crypto venture, promising ‘abundance’ and ‘blessings.’ However, state regulators argue that INDXcoin was, in reality, “essentially worthless.”
The accusations claim that instead of using the funds to benefit investors, the Regalados spent approximately $1.3 million on personal luxuries such as a Range Rover, jewelry, cosmetic dentistry, extravagant vacations, and home renovations in Denver. In a video statement, Eli Regalado admitted to pocketing the money and asserted that a home remodel was divinely inspired.
The Colorado Division of Securities initiated an investigation after receiving complaints from an anonymous investor. Civil fraud charges were subsequently filed, accusing the Regalados of violating anti-fraud, licensing, and registration provisions of the state’s Securities Act.
Eli Regalado, in video statements, claimed that God guided him to create INDXcoin, assuring investors that it was a safe and profitable investment. However, state authorities argue that INDXcoin lacked asset backing, making it a risky venture with no market interest beyond its pool of investors.
Inflating the value of INDXcoins
The complaint further alleges that the Regalados misled investors by using technical terms and falsely inflating the value of INDXcoins, which were initially purchased for $1.50 or given away. The Regalados allegedly failed to explain how the INDXcoin market worked, and their Kingdom Wealth Exchange was presented as the exclusive platform for buying, selling, or trading the currency.
As the INDXcoin failed to deliver promised returns, Eli Regalado reassured investors in videos, claiming they needed to wait for God’s plan to unfold. In a recent video, he acknowledged the difficulties faced by investors unable to sell and attributed the failure to a technological glitch in the exchange.
A court hearing is scheduled for Monday, where the Regalados will face the charges of fraud, exploitation of trust, and misleading investors. The accused pastor expressed hope for a divine intervention to resolve the situation, emphasizing that he is still waiting on a miracle from God to repay investors.
