The Orlando cryptocurrency firm at the center of the massive Ponzi scheme allegedly run by Christopher Delgado filed for bankruptcy last week, showing the potential for at least 1,500 victims and up to $500 million owed.<\/p>\n
Prosecutors say Delgado\u2019s Goliath Ventures firm, based in Central Florida, defrauded<\/a> investors of at least $328 million. Delgado, 34, was arrested last month and faces federal charges of wire fraud and money laundering.<\/p>\n Banking giants JPMorgan Chase and Bank of America, along with prominent cryptocurrency exchange Coinbase, have been subpoenaed in the bankruptcy case, documents filed in federal bankruptcy court in South Florida show. Attorneys want to know about those businesses\u2019 interactions with Goliath.<\/p>\n The March 16 Chapter 11 bankruptcy filing was made by Miami attorney Michael Budwick, whom a Broward County Circuit Court judge appointed to take control of Goliath following Delgado\u2019s arrest.<\/p>\n The company\u2019s assets are estimated at between $1 million and $10 million, and its liabilities are estimated at between $100 million and $500 million, the bankruptcy petition says.<\/p>\n \u201cUpon information and belief, there are 1,500 (or more) victims of Mr. Delgado\u2019s criminal activity who will assert claims against the Debtors,\u201d other bankruptcy filings say.<\/p>\n The bankruptcy petition also lists 20 of the creditors with the largest financial claims against Goliath, all but one of whom are listed as a potential victim of fraud by Delgado.<\/p>\n The creditor with the largest claim is a Bradenton man who claims he is owed $8.7 million. The other victims listed include people in Canada, Georgia, Virginia and Ohio. An Altamonte Springs company claims it is owed $40,000 for surveillance services.<\/p>\n Prosecutors say Delgado lived the high life on other people\u2019s money, misappropriating investors\u2019 funds to buy million-dollar homes, luxury cars and fancy watches, among other items<\/a>. He\u2019s now free on bond but must mostly remain at his Isleworth home, a seven-bedroom, golf course mansion he bought for $8.5 million last summer.<\/p>\n Some of Goliath\u2019s investors have already filed lawsuits seeking money they claim they lost with the firm. That includes the Bradenton investor and John Euliano, a major donor to the University of Central Florida and the namesake of the school\u2019s baseball stadium, who is suing for at least $1.2 million in damages.<\/p>\n Euliano declined via text a request for comment Monday.<\/p>\n