According to a Bloomberg Law coverage, the Southern District of New York (SDNY) Courthouse sentenced Armenta to five years in federal prison for laundering $300 million in proceeds generated from the OneCoin scam. The 59-year-old was the ex-boyfriend of Ruja Ignatova – the creator of the scheme that defrauded investors out of over $4 billion. 

The initial investigation indicated Armenta could go to jail for seven years. However, he pleaded guilty to money laundering, extortion, and committing wire fraud in 2018, hence the reduced punishment. 

Matthew Lee – Founder of the public interest organization Inner City Press – shed more light on the case against the defendant. After laundering $300 million, Armenta supposedly purchased luxurious items for himself, such as a jet plane.