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2 men charged in multi-million dollar investment fraud: Lethbridge police

An officer with handcuffs. Pixabay

Lethbridge police have charged two southern Alberta men in connection with a multi-million dollar investment fraud scam.

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A long-term investigation into the fraud, which spanned several jurisdictions, including Alberta, B.C. and Saskatchewan, was launched in 2018.

Police said the investigation found a Lethbridge man had been defrauded of more than $3.1 million by RAEU Global, a Calgary-based investment company.

“The victim was seeking more than $25-million to build a major project in Ontario and required capital to proceed,” police said in a news release Thursday.

“RAEU and an Okotoks brokering firm, Taurus Capital, agreed to provide the money necessary to fund the project, however, as part of the deal, it was stipulated taht a $3.1 million ‘down payment’ was required.”

The victim raised the money through several of his own investors then met with RAEU representatives on multiple occasions to complete the transaction, police said. The man paid the “down payment” but never received the loan.

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The money paid by the victim was transferred into several RAEU associate’s bank accounts, including accounts in the Czech Republic, investigators said.

Dustin Ritter, 36, of Okotoks, has been charged with fraud over $5,000 and possession of property obtained by crime over $5,000.

Ritter is scheduled to appear in Lethbridge court on Sept. 3.

Josef Korec, 46, of Calgary, is also facing several charges, including fraud over $5,000 and money laundering.
Police said Korec fled the country before he could be arrested and is currently living in the Czech Republic. A warrant has been issued for his arrest.
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