Las Vegas, NV – February 26, 2025 – Brent Kovar, a 58-year-old Las Vegas business owner, has been indicted on multiple federal charges stemming from an alleged $24 million cryptocurrency Ponzi scheme tied to his company, Profit Connect. The indictment, announced by the U.S. Attorney’s Office for the District of Nevada on February 14, accuses Kovar of deceiving over 400 investors with false promises of high returns and guaranteed refunds, only to misuse their funds for personal gain.
Kovar faces 12 counts of wire fraud, three counts of mail fraud, and three counts of money laundering. Authorities allege that between late 2017 and July 2021, he marketed Profit Connect as a cutting-edge cryptocurrency mining operation powered by artificial intelligence. He claimed the company could deliver fixed annual returns of 15% to 30% and offered a 100% money-back guarantee, assurances that prosecutors say were entirely fabricated.
U.S. DOJ – Brent Kovar
According to the U.S. Department of Justice, Brent Kovar lured investors through a polished campaign that included a company website, YouTube videos, and PowerPoint presentations. He allegedly went as far as leasing office spaces and a warehouse to create the appearance of a legitimate data center operation. Some investors were even misled into believing their investments were insured by the Federal Deposit Insurance Corporation (FDIC), a claim that has been debunked by federal authorities.
Rather than investing the $24 million he collected, Kovar is accused of diverting the funds to fuel a lavish lifestyle. Prosecutors say he used the money to purchase a house, buy gifts for employees, and make fraudulent repayments to earlier investors—classic hallmarks of a Ponzi scheme designed to maintain the illusion of profitability. “Kovar stole victims’ hard-earned money by making false representations,” said Ryan Korner, Special Agent in Charge with the FDIC Office of Inspector General, emphasizing the scale of the alleged deception.
The case has drawn attention not only for its financial toll but also for its potential consequences. If convicted on all counts, Kovar could face up to 330 years in prison and fines reaching $4.5 million, depending on judicial discretion and sentencing guidelines. His jury trial is scheduled to begin on April 8, 2025, before U.S. District Judge Jennifer A. Dorsey, with Assistant U.S. Attorney Daniel Schiess leading the prosecution.
The Investigation
The investigation, supported by the FBI, FDIC, and IRS, underscores a growing crackdown on cryptocurrency-related fraud. In 2021, the Securities and Exchange Commission took emergency action against Profit Connect Wealth Services Inc., the sales arm of Kovar’s operation, securing a restraining order and asset freeze. While that civil action hinted at trouble, the criminal charges now elevate the stakes significantly.
Brent Kovar made his initial court appearance earlier this month, entering the legal battle that could define his future. As the trial approaches, the case serves as a stark reminder of the risks lurking in the often-opaque world of cryptocurrency investments. For the hundreds of investors allegedly defrauded, the proceedings offer a chance for justice—though recovering their losses remains uncertain.
The public and legal observers alike await further developments as this high-profile case unfolds in Nevada’s federal court.
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