Profit Connect Owner Kovar Guilty on $24M AI Crypto Scam Counts
A federal jury has convicted Brent C. Kovar, the owner of Profit Connect, on 15 counts of fraud and money laundering related to a $24 million AI-powered crypto business scheme.
The scam, which operated between late 2017 and July 2021, promised investors fixed returns of 15% to 30% APR through the use of an AI supercomputer for mining and transaction verification.
Kovar misrepresented Profit Connect as a profitable technology business, claiming it held hundreds of millions of dollars in crypto reserves. However, prosecutors said the company was unprofitable, lacked legitimate sources for promised returns or guarantee, and used investor money to fund personal expenses.
The verdict now moves the case to sentencing on November 30, with Kovar facing a maximum of 280 years in prison. The convictions carry an aggregate statutory maximum representing the legal ceiling across the counts, according to prosecutors.