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  United States of America vs Efrain Betancourt Jr. Case number 1:24-cr-20399 SDFL
  

  As of May 23, 2025

  
  

  Colombian National Pleads Guilty to $66 Million Ponzi Scheme, Funded Chateau Wedding and Lavish Vacations with Investments

  
  

  Efrain Betancourt, Jr., 36, a dual citizen of Colombia and the United States, pleaded guilty on May 21 to operating a $66 million Ponzi scheme through his payday loan company, Sky Group USA, LLC (Sky Group).
  
  
  
  According to the facts admitted at the change of plea hearing, Betancourt was the Chief Executive Officer and sole owner of Sky Group. Betancourt managed Sky Group and sold promissory notes to investors to raise funds. Betancourt and his co-conspirators claimed that Sky Group was in the business of funding small-dollar, short-term loans to consumer borrowers. To purportedly generate these short-term loans, Betancourt and his co-conspirators raised approximately $66 million from over 600 investors from January 2016 to March 2020.
  
  
  
  Betancourt made materially false statements to investors regarding the use of their funds, including that investor funds would be used for the sole purpose of making consumer loans and associated business costs. In truth, Betancourt operated a Ponzi scheme, generating revenue primarily through new investor money and using the newly raised money to make scheduled payments to previous investors.  Sky Group only made about $12.2 million off consumer loans, and Betancourt and his co-conspirators used millions of dollars to pay undisclosed sales agent commissions. Betancourt misappropriated over $6.5 million for his own personal use, including a luxurious wedding at a chateau in France and other lavish group vacations with friends and family.
  
  
  
  Betancourt’s sentencing hearing is set for August 14 before U.S. District Judge Darrin P. Gayles. Betancourt faces a maximum sentence of up to 20 years in prison.

  
  

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  MIAMI - Efrain Betancourt, Jr., 36, a Colombian citizen, was
  arrested on Nov. 14, upon entering the United States and charged in
  South Florida federal court with leading a $66 million Ponzi scheme
  disguised as a payday loan company, Sky Group USA, LLC (Sky Group).

  
  

  Betancourt,
  Jr. was charged by indictment with conspiracy to commit mail and wire
  fraud, and wire fraud on Sept. 12. The indictment was unsealed in
  federal court on Nov. 18.

  
  

  According to allegations in the
  investment fraud indictment, Betancourt, Jr. offered promissory notes to
  Sky Group investors with yearly returns ranging from 24 to 120 percent.
  Betancourt, Jr. and others told promissory note investors their funds
  would be used to disburse payday loans to Sky Group clients. Interest
  from payday loans clients would then purportedly be used to repay
  promissory note investors. However, millions of dollars from promissory
  note investors were used to pay previous promissory note investors as
  part of the Ponzi scheme. Betancourt, Jr. also used over $7.5 million of
  investor funds for personal use, including a luxury chateau wedding in
  France, expensive jewelry, a Miami condominium, and family vacations.
  Over 600 investors invested in Sky Group, many of whom were Venezuelan.

  
  

  If
  convicted of all charges in the indictment, Betancourt, Jr. faces a
  maximum total penalty of 140 years’ imprisonment. A federal district
  court judge will determine any sentence after considering the U.S.
  Sentencing Guidelines and other statutory factors.

  
  

  An indictment is merely an accusation. All defendants are presumed innocent until proven guilty beyond a reasonable doubt in a court of law.

  
  

  Related court documents and information may be found on the website of the District Court for the Southern District of Florida at www.flsd.uscourts.gov or at http://pacer.flsd.uscourts.gov, under case number 24-cr-20399.

  
  

  LINK: https://www.justice.gov/usao-sdfl/pr/colombian-national-arrested-and-charged-operating-66-million-ponzi-scheme-disguised

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