A pastor in Eastern Washington is facing serious allegations of defrauding church members and others of $5.9 million through a fraudulent cryptocurrency investment scheme. Francier Obando Pinillo, formerly the pastor of Tiempo de Poder Church in Pasco, was arrested in Miami on December 5 after being indicted on 25 counts of wire fraud and one count of operating an unlicensed money transmitting business.
According to federal prosecutors, Pinillo promised investors substantial monthly returns of up to 40% by staking digital assets like Bitcoin. However, a lawsuit filed by the Commodity Futures Trading Commission (CFTC) claims he never invested the money as promised, instead diverting it for personal use and transferring over $4 million to digital wallets in Colombia.
Targeting the Faithful
Pinillo’s alleged scheme primarily targeted unsophisticated investors, many of whom were members of his Spanish-speaking congregation. The lawsuit accuses him of exploiting his position as a trusted pastor to solicit funds, often during church events and seminars. At one megachurch in Florida, he reportedly urged congregants to invest, claiming they could earn returns as high as 34.9% per month.
“As the pastor at his church in Pasco, Wash., and as a guest speaker at other churches, defendant (Pinillo) was able to reach a vast number of potential customers, who believed he was honest and trustworthy,” states the lawsuit.
To attract more investors, Pinillo allegedly promoted a “Christian-values” cryptocurrency token called “ShekkelCoin” and promised a 15% referral fee for new recruits. Investors were also charged maintenance fees to access fabricated online account dashboards that falsely displayed increasing balances.
Allegations of Misrepresentation
The lawsuit claims Pinillo misled investors by asserting that their funds were risk-free and could be withdrawn after three months. One customer’s fabricated account statement showed a $36,000 investment growing to over $1 million in less than a year. However, investigators say no trading platform or investments ever existed, and no profits were generated.
When faced with demands for withdrawals, Pinillo allegedly made excuses, including claims that funds were frozen due to the bankruptcy of the FTX cryptocurrency exchange. However, court documents indicate neither Pinillo nor his companies had any connection to FTX.
Legal Repercussions
Pinillo now faces up to 20 years in prison for each count of wire fraud, as well as penalties for operating an unlicensed money transmitting business. The CFTC is seeking a jury trial, aiming to recover funds for victims and impose fines, trading bans, and permanent injunctions against Pinillo.
Despite his legal troubles, Pinillo continues to post Spanish-language videos on his Facebook page, where he proclaims messages of faith and promises of financial miracles for his followers.
The federal court handling the case has yet to assign an attorney for Pinillo, and attempts to contact him regarding the charges were unsuccessful.
