Statement Summary
The SEC has charged Ramil Ventura Palafox, founder of PGI Global, with orchestrating a $198 million fraud scheme involving crypto assets and foreign exchange trading. From January 2020 to October 2021, Palafox sold membership packages that promised high returns, while misappropriating over $57 million of investor funds for personal luxury purchases and to pay returns to earlier investors in a Ponzi-like structure.
The SEC’s lawsuit seeks permanent injunctions, disgorgement of gains, and civil penalties against Palafox and his associates. Additionally, Palafox faces criminal charges from the U.S. Attorney’s Office, as part of an ongoing investigation involving multiple agencies.
Original Statement
Ramil Ventura Palafox
U.S. SECURITIES AND EXCHANGE COMMISSION
Litigation Release No. 26295 / April 29, 2025
Securities and Exchange Commission v. Ramil Ventura Palafox, Defendant, and BBMR Threshold LLC, Darvie Mendoza, Marissa Mendoza Palafox, and Linda Ventura, Relief Defendants, No. 1:25-cv-00681(E.D. Va. filed Apr. 22, 2025)
Details of the Charges
The Securities and Exchange Commission charged Ramil Palafox on April 22, 2025, for orchestrating a fraudulent scheme that raised approximately $198 million from investors worldwide and for misappropriating more than $57 million of investor funds.
According to the SEC’s complaint, Palafox’s company, known as PGI Global, claimed to be a crypto asset and foreign exchange trading company. From January 2020 through October 2021, Palafox offered and sold PGI Global “membership” packages, which he claimed guaranteed investors high returns from PGI Global’s supposed trading.
Palafox also offered members multi-level-marketing-like referral incentives to encourage them to recruit new investors. However, as the complaint alleges, Palafox misappropriated more than $57 million in investor funds to buy Lamborghinis, luxury items, and for other personal expenses. He used the majority of the remaining investor funds to pay other investors their purported returns and referral rewards in a Ponzi-like scheme until its collapse in late 2021.
The SEC’s complaint, filed in the U.S. District Court for the Eastern District of Virginia, charges Palafox with violating the anti-fraud and registration provisions of the federal securities laws. The complaint seeks permanent injunctive relief, conduct-based injunctions preventing Palafox from participating in multi-level-marketing programs involving the offer or sale of securities and offerings of crypto assets bought or sold as a security, disgorgement of ill-gotten gains with prejudgment interest, and civil penalties.
The complaint also names BBMR Threshold LLC, Darvie Mendoza, Marissa Mendoza Palafox, and Linda Ventura as relief defendants and seeks disgorgement of their ill-gotten gains and prejudgment interest.
Parallel Criminal Action
In a parallel action, Palafox was arraigned in U.S. District Court on criminal charges brought by the U.S. Attorney’s Office for the Eastern District of Virginia. The SEC’s ongoing investigation is being conducted by Michael Cuff and Polly Hayes of the Philadelphia Regional Office and Assunta Vivolo of the SEC’s Market Abuse Unit. It is being supervised by Ms. D’Allaird and Mr. Thompson. The litigation will be conducted by Spencer Willig and Gregory Bockin of the Philadelphia Regional Office and Eugene Hansen of SEC Headquarters. The Commission appreciates the assistance of the U.S. Attorney’s Office, the FBI, and the IRS.
