OmegaPro’s Michael Shannon Sims and Juan Carlos Reynoso have been arrested.

In line with BehindMLM’s January 2019 OmegaPro review, the DOJ states it was “an international investment scheme that defrauded victim investors of over $650 million”.

Following multiple international regulatory fraud warnings, OmegaPro collapsed in late 2022.

Sims, along with Dilawar Singh and Andreas Szakacs, is an OmegaPro co-founder.

Sims’ District of Puerto Rico criminal case docket reveals he was arrested on July 8th. Additional filings are expected in the coming days.

Juan Carlos Reynoso was a top OmegaPro promoter, primarily responsible for consumer losses across Central and South America.

Reynoso was arrested on June 30th and made his initial appearance in a Florida District Court on July 1st.

On June 2nd the DOJ filed a motion, making a case for Reynoso’s pre-trial detention.

Mr. Reynoso can readily choose a life overseas rather than facing the consequences of his conduct here in the United States.

In particular:

-Mr. Reynoso has already demonstrated contempt for a judicial order related to the OmegaPro scam. To date, he has incurred over $1,110,000 in fines pursuant to a civil contempt order in the District of Puerto Rico. The funds that the Government sought to seize (and that Mr. Reynoso diverted and concealed) were OmegaPro victim funds.

BehindMLM’s reported on the seizure of Reynoso’s ill-gotten OmegaPro gains back in March.

– Mr. Reynoso is a dual Peruvian-U.S. citizen with an extensive history of travel. This includes 68 trips to 21 different, foreign destinations between 2020 and June of 2025. He spends extensive periods outside of the United States. The address of his U.S. residence provided to U.S. Probation is listed online for sale.

– Mr. Reynoso has extensive assets readily transferable across borders. Between February 2021, and December 2023, more than $21,400,000 USD equivalent of various kinds of cryptocurrency were deposited into Mr. Reynoso’s Binance account. He has ties to over-the-counter brokers in Latin America to convert cryptocurrency into fiat of his choice.

– Mr. Reynoso has ties to human traffickers. In 2024, he paid thousands of dollars for his Colombian girlfriend and Peruvian cousin to be smuggled via boat into Florida.

– If convicted at trial of the charges against him, Mr. Reynoso faces a maximum penalty of 20 years in prison on each of the two counts in the indictment. This creates an incentive to flee.

Mr. Reynoso’s involvement in OmegaPro forms part of a series of similar scams. He previously promoted the following:

The DOJ cites Reynoso’s prior involvement in AirBit Club, Crypto World Evolution, iComTech and TeaMiner.

It is noteworthy that another OmegaPro executive assumed an alternative identity in a foreign country less accessible to U.S. law enforcement.

Mr. Reynoso’s former colleague, Andreas Szakacs, who was the CEO of OmegaPro and a Swedish national, changed his name to “Emre Avci” and obtained citizenship in Turkey, where he is believed to currently reside.

Article 4 of the 1979 United States-Turkey Extradition Treaty provides that Turkey is not bound to extradite its nationals to the United States.

Having previously reported on Szakacs’ arrest in Turkey last August, that he won’t be extradited to the US is new information to us. It remains unclear which authority is behind Szakacs’ arrest in Turkey.

Peru does extradite its own citizens but that doesn’t stop Reynoso from easily obtaining citizenship elsewhere like Szakacs. Notably at the time of his arrest, Reynoso’s Peruvian passport, which he’d only recently used on June 13th, remains unaccounted for.

Given this and Mr. Reynoso’s history, there is heightened concern about his risk of flight.

Additionally, it appears Reynoso will be charged with immigration fraud at some point;

Based upon the Government’s investigation, Mr. Reynoso paid traffickers thousands of dollars in 2024 to smuggle his Colombian girlfriend, Mary Capacho Ulloa, and a Peruvian cousin, Jorge Gonzalez Reynoso, into Florida via a boat.

When arrested upon her illegal entry on October 15, 2024, by police in Ocean Ridge, Florida, Ms. Capacho Ulloa had a photo of Mr. Reynoso.

She identified Mr. Reynoso as the person who organized and paid for her illegal passage from the Bahamas to Florida.

She stated that one thousand dollars was paid via Western Union, and $8,000 was paid in cash.

Consistent with these statements, the Government confirmed that Mr. Reynoso traveled from Miami to Nassau, Bahamas on October 11, 2024, and returned to Miami on October

Mr. Reynoso has not yet been charged related to this incident.

This conduct demonstrates a willingness to engage in illegal cross-border activity and disregard for immigration laws, indicating a heightened risk that Mr. Reynoso would flee to avoid prosecution.

Despite having a history of immigration fraud and access to tens of millions of dollars in stolen funds, on July 3rd the court denied the DOJ’s motion for pre-trial detention.

As per Reynoso’s release conditions:

  • bond has been set at $1.1 million ($750,000 Personal Surety Bond and $350,000 co-signed by Awilda Reynoso);
  • his case was transferred to Puerto Rico on July 3rd;
  • Reynoso must surrender all passports and travel documents, avoid contact with OmegaPro co-defendants, not possess firearms and not visit commercial transportation establishments;
  • Reynoso will be subject to home detention with location monitoring;
  • permission granted to travel between Florida (where Reynoso will reside after taking his property off the market) and Puerto Rico (court appearances); and
  • Reynoso is prohibited from having anything to do with cryptocurrency

A July 8th DOJ press-release cites Sims’ and Reynoso’s “co-conspirators”. Both Sims’ and Reynoso’s indictments were filed under seal and, at time of publication, remain so.

What we do know is Sims and Reynoso have each been charged with conspiracy to commit wire fraud and conspiracy to commit money laundering.

If convicted, Sims and Reynoso face up to twenty years in prison on each count.

While expected (Dilawar Singh was last known to be hiding in Spain), it is unclear whether there are additional pending OmegaPro indictments.

Of interest to those who lost money in the Ponzi scheme, the FBI is currently seeking information from OmegaPro’s victims.