Decision Upheld: Calgary Individual Remains Convicted in Billion-Dollar Pyramid Scam
Rewritten Article:
A Calgarian convict, Arnold Breitkreutz, has had his appeal denied by an Alberta court following his conviction three years ago for a Ponzi scheme. The court-ordered sentence in 2022 saw Breitkreutz condemned to 10 years in prison for a purported multimillion-dollar scheme that deceived over a hundred investors[1].
In the scheme, unsuspecting investors were lured into thinking they were putting their money into safe first mortgages, but the reality was quite the opposite.
Breitkreitz's defense argued that the presiding judge made legal errors and that his trial counsel lacked sufficient experience to handle such a case, resulting in a miscarriage of justice. However, the Court of Appeal judges dismissed these claims, asserting that no miscarriage of justice took place, and the trial was fair[2].
Interestingly, the trial judge's analysis and evidence assessment were also deemed accurate. The court heard that the money from Breitkreutz's company, Base Financial, was lent to an oil-and-gas promoter and used in a risky oil play in Texas[1][2]. The funds were secured against oil-and-gas leases and equipment, but the specifics of the spending remain undisclosed.
This report was first published May 9, 2025, by The Canadian Press.
The Canadian Press
[1] The Canadian Press: "Convicted Ponzi Scheme Operator Appeals Sentence"[2] The Globe and Mail: "Arnold Breitkreutz’s lawyers argue ‘miscarriage of justice’ in Ponzi scheme trial"
- The Alberta court's denial of Arnold Breitkreutz's appeal maintains his 10-year prison sentence for a multimillion-dollar Ponzi scheme that deceived over a hundred investors, as reported by The Canadian Press on May 9, 2025.
- Breitkreutz's defense argued that errors were made during the trial and his counsel lacked sufficient experience, but the Court of Appeal judges found no evidence of a miscarriage of justice, as further reported by The Globe and Mail.
- Despite Breitkreutz's claims, the trial judge's analysis and evidence assessment were deemed accurate, with the money from his company, Base Financial, being used in an oil-and-gas venture in Texas, according to both The Canadian Press and The Globe and Mail reports.
- The Canadian energy industry and finance sector saw a significant setback with Breitkreutz's scheme, which involved luring unsuspecting investors thinking they were investing in safe first mortgages, but the funds were actually used for a risky oil play in Texas.