Daniel Filho’s DFRF Enterprises fraud indictment dismissed
Daniel Filho’s long-running criminal case saga has come to end, following the dismissal of his indictment.
DFRF Enterprises launched in mid 2014 and was primarily pitched to TelexFree Ponzi victims.
The SEC shut DFRF Enterprises down in July 2015. The DOJ were pursuing a criminal case in tandem, which led to the arrest of owner Daniel Filho later that month.
BehindMLM has extensively covered Filho’s civil and criminal proceedings.
- the SEC’s civil case was stayed pending conclusion of criminal proceedings; and
- the DOJ’s criminal case has been in limbo for years pending resolution of Filho’s mental health status.
A conclusion to the DOJ’s criminal case against Filho was reached on November 7th, following a filing to dismiss his indictment.
As per the DOJ’s one-page filing;
In support of this dismissal, the government states that the defendant has been deemed incompetent to stand trial and not medically restorable within the foreseeable future, and thus a dismissal, without prejudice, is in the interests of justice.
Filho was declared mentally incompetent back in July, so we knew this was coming as some point.
Two days after the DOJ’s dismissal filing, Filho’s attorney filed a motion demanding his immediate release;
Comes now the defendant, Daniel Fernandes Rojo Filho, and moves the Court to enter an Order that he be released immediately from the custody of the Bureau of Prisons.
The government has moved to dismiss the indictment, and there is no basis for holding the defendant any further.
On November 13th Judge Gorton allowed both motions.
Personally I’ve never bought Daniel Filho’s mental health status. He was competent enough to run a Ponzi scheme and bilk investors out of millions.
Then the FBI arrested him and suddenly Filho was a mental basket-case, unable to process the charges against him or stand trial.
It’s just too convenient.
Still, this is what happened and Filho’s victims and the DOJ seem powerless to do anything Filho’s final swindle.
It would have sat a lot better with me if Filho was remanded into permanent custody until such a time as he was deemed competent, but from the sounds of it he’s being released and getting off scot-free.
Not to take anything away from mental health issues but that’s a pretty disappointing outcome.
On the flip side, on November 14th the SEC filed a motion requesting their civil DFRF Enterprises case stay be lifted. A decision on the motion is pending.
Update 22nd November 2018 – The SEC’s DFRF Enterprises case has been reopened as per a November 19th order.
Oz.. There is no such thing as fake a mental health. Even in USA, as I see, it is extremely HARD to fake it. I can easily understand their mental health deteriorate when he was arrest.
Even normal people will be affected. But this is not a free jail card. I don’t know what will happens, but he will need a lot o doctor and medicine.
By the way, what was their problem? Bipolar Disorder? Schizophrenia?
I agree there isn’t but just that this particular case doesn’t sit right with me.
As I understand it Filho was on drugs prior to arrest. It’s just far too convenient for mental issues to pop up post-arrest to avoid prison time.
As far as competency goes, from what I read it covers not being able to process the case against you. So just sit in a corner rocking back and forth with your hands over your ears every time the subject came up?
Filho already has the skeletor look. Cough up some toothpaste froth for dramatic affect and who’s going to be the wiser?
He hasn’t been declared mentally insane, just not competent to stand trial.
The SEC will strip him of assets so it’s not like Filho will be living in luxury (no more gold lambos), but I still feel it’s a weak sauce outcome.
Yes I strongly agree.
Article updated with reopening of SEC case as of November 19th.
Yeah….As of July 2019…He looks pretty mentally competent to me…and enough to stand trial at that.
I guess he struck a deal with someone because it looks like he’s back home and running business as usual now…lol…unreal. https://www.instagram.com/dfrfdaniel/?hl=en
Must be nice to “friends” in “high places”.
By the way, El Chapo Guzman (the Mexican drug lord Daniel was accused of being a “key link” within the cash laundering chain used by the Sinaloa Cartel) was sentenced Wednesday (7/17/19) to life in prison plus 30 years, and ordered to pay $12.6 billion in forfeiture…
what funny timing 🙂
I personally never believed Filho’s “surprise, I’m incompetent!” act. It was just all too convenient.
I don’t know what the repercussions are given Filho is now demonstrating obvious competency, but hopefully the DOJ and SEC are watching.
What about the people who gave this mental Case thousands of dollars, will they get their money back???
No Receiver was appointed so you’ll have to contact the SEC (doubt it).
I was in prison with this guy. He is legitimately crazy. Didnt know he was a scammer, I just presumed he was lying about being rich.
He baffled a lot of people with his pseudo religious nonsense, but I never bought it. Really intelligent, but nuts.
I figure he ratted on everyone to get free, but I can’t tell for sure.
I hope FBI still has him under the radar. Just look at his fb friends commenting on awaiting the big day, money news e.t.c. He is capable .
Did he pay up some money? Penalties?
What happened to those who gave him money not knowing of his scheme?
He didn’t pay anything per say, but he didn’t recover anything that was seized either.
Victims lost out, there was never a Receiver appointed.
Don’t believe the FBI and DOJ play both sides when to their benefit? This case is but one of many which prove otherwise.
Neither the FBI or DOJ had a hand in Filho pulling out the mentally incompetent defense.