A Nevada man has admitted to his involvement in a long-running fraud scheme, where he embezzled over $6.1 million from investors. Mykalai Kontilai, also known as Michael Contile, aged 55, of Las Vegas, pleaded guilty to one count of wire fraud.
Court documents reveal that Kontilai orchestrated an investment fraud through his company, Collector’s Coffee Inc., operating as Collector’s Café. From 2012 to 2018, he made numerous false claims to persuade victims to invest in the company. He misrepresented that the funds would be used for legitimate business purposes and falsely claimed personal investments in the company. In reality, he diverted approximately $6.1 million for personal use.
The U.S. Securities and Exchange Commission (SEC) started investigating him around 2017 for fund misappropriation. Kontilai obstructed this investigation by forging documents and lying under oath. He was charged on June 3, 2020, with related charges filed earlier in Colorado on March 10, 2020. Before being charged, Kontilai fled to Russia but was arrested in Germany on an Interpol Red Notice in 2023 and extradited back to the U.S.
Kontilai's plea agreement includes dismissing the Colorado case at sentencing scheduled for December 4th. He faces up to 20 years in prison.
The announcement came from Principal Deputy Assistant Attorney General Nicole M. Argentieri; U.S. Attorney Jason M. Frierson; FBI Special Agent Spencer L. Evans; and IRS-CI Special Agent Carissa Messick.
The FBI and IRS-CI are leading the investigation with support from the Justice Department’s Office of International Affairs for securing Kontilai's extradition.
Trial Attorneys Brandon Burkart and Sara Hallmark along with Assistant U.S. Attorney Jessica Oliva prosecuted the case with assistance from former Trial Attorney Emily Scruggs.