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Key Takeaways
- Benjamin Paul Wiener was indicted on 29 counts including wire fraud, money laundering, bank fraud, and aggravated identity theft.
- Prosecutors allege Wiener ran a Ponzi-style scheme through eight companies, costing dozens of victims an estimated $20 million.
- Wiener pleaded not guilty and faces trial on September 15, with charges carrying penalties up to 30 years in prison.
A federal grand jury has indicted Sioux Falls, South Dakota, investor Benjamin Paul Wiener on 29 counts including wire fraud, money laundering, bank fraud and aggravated identity theft, U.S. Attorney Ron Parsons announced July 16. Prosecutors allege Wiener’s scheme cost dozens of victims across South Dakota and Minnesota an estimated $20 million in cash and cryptocurrency.
Wiener, 43, was indicted last month and appeared before U.S. Magistrate Judge Veronica L. Duffy on July 10, when he pleaded not guilty to all counts. He was released on bond ahead of a trial set for September 15.
What Prosecutors Allege
According to the indictment, Wiener solicited both cash and digital currency from victims who invested with companies he controlled, making what prosecutors describe as materially false statements and fraudulent representations to induce the investments. The government says the scheme affected dozens of victims throughout the region.
Prosecutors allege that after collecting victim funds, Wiener moved the money through banks and cryptocurrency exchanges to conceal its source and ownership. When an investor’s funds ran low or someone requested a refund, the indictment alleges Wiener would recruit new investors and use their money to repay earlier backers while also covering personal expenses. Prosecutors describe this structure as consistent with a Ponzi-style scheme.
Eight Entities Named in the Indictment
The indictment identifies eight companies prosecutors say Wiener used to carry out the fraud and laundering activity: Benaiah Capital LLC, Benaiah Holdings Inc., Benaiah Digital Fixed Income LP, Benaiah Digital LP, Benaiah Management Company Inc., Benaiah Enterprises LLC, Aslan Management LLC and Runway Four10.
A separate count in the indictment alleges Wiener defrauded a Sioux Falls bank in April 2025 by falsifying documents and other information to secure a $1 million line of credit. To do so, prosecutors allege, he used another individual’s personal identifying information without authorization, the basis for the aggravated identity theft charge.
Penalties and What Comes Next
Wire fraud and money laundering each carry a maximum penalty of up to 20 years in prison and a $250,000 fine upon conviction. Bank fraud carries a maximum of up to 30 years and a $1 million fine. Aggravated identity theft carries a mandatory minimum sentence of two consecutive years in addition to any other sentence imposed. Restitution may also be ordered if Wiener is convicted.
As with any indictment, the charges are accusations only, and Wiener is presumed innocent unless and until proven guilty in court. The case is being investigated by IRS Criminal Investigation and the FBI, with Assistant U.S. Attorney Jeremy R. Jehangiri prosecuting.
Part of a Broader Enforcement Trend
The case adds to a growing number of federal prosecutions involving cryptocurrency used to move alleged fraud proceeds. The Justice Department’s Fraud Section charged 265 defendants in 2025, a 10% increase from the prior year, with an aggregate intended loss exceeding $16 billion, more than double 2024’s total, according to the department’s 2025 year-end review. That figure spans fraud cases generally, including a large share tied to health care fraud, rather than crypto-specific schemes alone, but the department has said digital assets are increasingly showing up as a tool for concealing and moving proceeds across a wider range of fraud types.
