Five former executives of Theia Group, Inc. have been charged in a $250 million fraud case that misled investors and lenders regarding the company’s satellite program. According to the U.S. Attorney’s Office for the District of Columbia, the defendants allegedly fabricated financial statements, made false claims about government contracts, and provided misleading revenue reports to secure funding.
Theia, a satellite company based in Washington, D.C., had ambitious plans to launch 112 satellites at a projected cost of $10 billion to $15 billion. However, despite seeking investment from foreign governments, Theia reportedly only secured $250 million in loans and investments—allegedly obtained through fraudulent means.
Prosecutors claim the defendants, including Theia founder Erlend Olson, used falsified documents to convince lenders and investors of the company’s legitimacy. These included a fabricated $6 billion escrow account statement. Olson also faces charges of tax evasion, accused of concealing over $3.9 million in personal income from 2018 to 2020 by diverting funds through a nominee entity.
Olson allegedly used these funds for personal luxuries, such as a private jet membership, Las Vegas real estate, a Land Rover, and significant rent payments. He is also accused of evading tax debts from previous years.
Authorities have arrested all five executives: Olson in New Mexico, Buscher in Tennessee, Gallagher in Pennsylvania, Fargnoli in New York, and Swati in Connecticut. Each defendant faces conspiracy charges for wire and mail fraud, with Olson also facing wire fraud, mail fraud, and tax evasion charges.
This case highlights the increasing vigilance by authorities in uncovering financial fraud, especially in the high-stakes world of satellite technology and global investment.
