Categories: Kentucky News

Financial trading ‘prodigy’ indicted for alleged $5M Ponzi scheme in Kentucky

LEXINGTON, Ky. (FOX 56) — A California man, who has been celebrated as a trading prodigy, was indicted in Kentucky for allegedly running a multimillion-dollar investment scam.

According to court documents, 23-year-old Mihir Deepak Sukthankar, the owner of several trading firms, and Dylan Bryce Baker recruited investors by luring clients with promises of returns from trades in foreign exchange, options, and other financial instruments.

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The indictment alleges that Sukthankar convinced clients to deposit large amounts of money and then used it for trades, mixing funds with his own, covering personal expenses, and paying previous deposits.

Prosecutors said Sukthankar built a password-protected website, named the Nvest Portal, that showed inflated balances and fake gains to allegedly mislead clients about the existence and value of their investments.

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The indictment highlights a case in Lexington where Baker allegedly introduced a Lexington investor to Sukthankar, convincing them to make an initial $1 million investment. The indictment said Baker used fake profits on the Nvest Portal to persuade the client to make additional investments, including a $4.2 million transfer to an account linked to one of Sukthankar’s partners.

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Sukthankar was indicted on charges of wire fraud, conspiracy to commit wire fraud, and money laundering conspiracy. Baker was indicted on charges of conspiracy to commit wire fraud and money laundering conspiracy.

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