A Nevada man has been sentenced to 51 months in prison for his involvement in a fraudulent investment scheme. Mykalai Kontilai, also known as Michael Contile, was ordered to pay $6.1 million in restitution for defrauding investors through his company, Collector’s Coffee Inc., based in Las Vegas.
Court documents reveal that from 2012 to 2018, Kontilai made false claims about Collector’s Coffee, which he said was about to launch an online auction platform for collectibles. He misled investors by stating that funds would be used for legitimate business purposes and claimed personal financial commitment to the company. In reality, Kontilai diverted approximately $6.1 million of the $23 million raised from investors for personal expenses.
The U.S. Securities and Exchange Commission (SEC) began investigating these activities around 2017. During the investigation, Kontilai forged documents and lied under oath to the SEC. Charged with wire fraud on June 3, 2020, he had previously fled to Russia but was arrested in Germany on an Interpol Red Notice in 2023 and extradited back to the United States.
Kontilai pleaded guilty on November 21 and agreed to dismiss a related case in Colorado as part of his plea agreement.
Principal Deputy Assistant Attorney General Nicole M. Argentieri of the Justice Department’s Criminal Division; U.S. Attorney Jason M. Frierson for the District of Nevada; Special Agent Spencer L. Evans of the FBI Las Vegas Field Office; and Special Agent Carissa Messick from IRS-CI's Phoenix Field Office announced the sentencing.
The FBI and IRS-CI conducted investigations into this case with support from the Justice Department’s Office of International Affairs during Kontilai's extradition process.
Trial Attorneys Brandon Burkart and Sara Hallmark from the Criminal Division’s Fraud Section along with Assistant U.S. Attorney Jessica Oliva prosecuted this case with assistance from former Fraud Section Trial Attorney Emily Scruggs.