Man gets prison sentence for Bitcoin trading scheme

The perpetrator of a Bitcoin trading scheme has been sentenced to prison time after pleading guilty to a fraud charge, the Ontario Securities Commission (OSC) announced.

Oliver Folkard was sentenced to eight months in prison and three years of probation in the Ontario Court of Justice after pleading to a charge of fraud over $5,000.

According to the OSC, Folkard “encouraged victims to participate in a bitcoin trading investment.” It further said, “An analysis of the company’s bank records showed that almost all investor funds were used primarily for the personal benefit of Oliver Folkard.”

Additionally, the OSC said that Folkard; his father, Rupert Folkard; and a third man, Joseph Goldfinger, “defrauded at least 14 people of approximately $155,000” in a scheme that, in part, saw Oliver Folkard pose as a certified general accountant, “charging a fee to fix credit ratings and obtain lines of credit for his victims.”

Yet, the regulator said that “Oliver Folkard never provided any of these services.”

Goldfinger also pled guilty to a count of fraud over $5,000. Earlier this year, he received a suspended sentence and two years of probation.

Rupert Folkard died in September 2018.

“The OSC will continue to prosecute and seek jail time for people who prey on Ontario investors,” said Jeff Kehoe, director of enforcement at the OSC.

James Langton

James is a senior reporter for Advisor.ca and its sister publication, Investment Executive. He has been reporting on regulation, securities law, industry news and more since 1994.