Los Angeles (Thechieftainspear) – A Swedish businessman accused of running a fraudulent scheme using the name and likeness of infamous Colombian drug lord Pablo Escobar has been arrested and extradited to Los Angeles to face a 115-count federal indictment.
Who is the Accused?
Olaf Kyros Gustafsson, 31, also known as “El Silencio,” is a Swedish national who previously owned Escobar Inc., a Puerto Rico-registered company that controlled the intellectual property rights associated with Pablo Escobar.
Prosecutors allege that from July 2019 to November 2023, Gustafsson orchestrated a massive fraud operation, selling nonexistent products under Escobar’s name to customers across Southern California and beyond.
The Fraudulent Scheme
According to court documents, Gustafsson marketed and sold a range of products branded with Escobar’s name, including:
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Escobar Flamethrowers
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Escobar Fold Phones
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Escobar Gold 11 Pro Phones
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Escobar Cash (a so-called physical cryptocurrency)
Gustafsson allegedly accepted payments through PayPal, Stripe, Coinbase, and other platforms but never shipped the advertised products—because they did not exist.
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To create demand, he reportedly sent fake samples of Escobar-branded tech products to influencers and online reviewers. One such item was a gold-wrapped Samsung Galaxy Fold, passed off as an original Escobar Inc. device.
When customers failed to receive their orders, they were denied refunds. Instead of real products, Gustafsson allegedly sent customers misleading promotional materials such as:
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A Certificate of Ownership
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A book or brochure about Escobar Inc.
He then used the mailing receipt as false evidence that an item had been shipped.
Money Laundering Network
Prosecutors also claim that Gustafsson set up multiple bank accounts in the United States, Sweden, and the United Arab Emirates to move and launder proceeds from the fraudulent sales.
Arrest and Extradition
Spanish authorities arrested Gustafsson in December 2023. After months of legal proceedings, he was extradited to the U.S., arriving in Los Angeles on March 28, 2025.
Charges and Court Proceedings
Gustafsson has been charged with 115 counts, including:
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41 counts of money laundering
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35 counts of international money laundering
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25 counts of engaging in unlawful monetary transactions
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9 counts of wire fraud
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3 counts of mail fraud
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1 count of conspiracy to commit fraud
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1 count of conspiracy to launder money
On March 29, he was arraigned in U.S. District Court in downtown Los Angeles, where he pleaded not guilty.
A trial date has been set for May 20, and he remains in federal custody.
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