Investment Advisor Paaris Kopsaftis Charged in Alleged Blackwater Assets Ponzi Scheme

Case from 2026 (U.S. Attorney's Office release: June 25, 2026). Published on Scammers.com Oct. 16, 2026; case status is current as of that date.

Paaris Kopsaftis, 42, of Charlotte, North Carolina, and formerly of Illinois, has been indicted on four counts of wire fraud, accused of using his company, Blackwater Assets Inc., to run a Ponzi scheme on investors from 2020 to 2025, the U.S. Attorney's Office for the Northern District of Illinois announced June 25, 2026 [1].

Important: Kopsaftis is charged only. He has pleaded not guilty and is presumed innocent unless and until proven guilty.

How the alleged scheme worked

According to the indictment as summarized by prosecutors [1]:

1. The company: Kopsaftis operated Illinois-based Blackwater Assets Inc.
2. False promises: He allegedly told victims he would invest their money for their benefit, while knowing he intended to use some of it for personal expenses, including his own bills.
3. Ponzi payments: He allegedly used some investor funds to repay earlier investors.
4. Fake paperwork: The indictment alleges he concealed the fraud by giving victims false documents showing their investments were worth more than they were.

The indictment says the scheme ran from about June 2020 through about May 2025 and names three victims living in the Northern District of Illinois [2].

The person charged

Paaris Kopsaftis, 42, Charlotte, N.C. [1]

• Court: U.S. District Court for the Northern District of Illinois, case No. 1:26-cr-00253, assigned to U.S. District Judge Jorge L. Alonso [3].
• Charges: four counts of wire fraud.
• Plea: not guilty at arraignment on June 23, 2026; a status hearing was set for July 15, 2026.
• Statutory exposure (informational): up to 20 years per count, as described by the U.S. Attorney's Office.
• Investigation: FBI Chicago Field Office, with assistance from the Securities Department of the Illinois Secretary of State's Office; prosecuted by Assistant U.S. Attorney Jared Hasten.

Red flags

• Account statements produced by the advisor himself rather than by an independent custodian.
• Returns that look steady regardless of market conditions.
• Delays or excuses when you ask to withdraw.
• Money paid to the advisor's company instead of held at a third-party brokerage.

What to do if you're targeted

1. Check registration through FINRA BrokerCheck, the SEC's adviser search and your state securities regulator (in Illinois, the Secretary of State's Securities Department).
2. Insist on custodian statements you can verify directly with the brokerage.
3. Report suspected fraud to the FBI at ic3.gov and the SEC at sec.gov/tcr.

Case status (as of Oct. 16, 2026)

Defendant	Court	Status as of Oct. 16, 2026	Source
Paaris Kopsaftis, 42, Charlotte, N.C.	N.D. Ill., No. 1:26-cr-00253 (Judge Alonso)	Indicted on four counts of wire fraud; pleaded not guilty June 23, 2026; no later outcome found in public sources as of Oct. 16, 2026	[1], [3]

An indictment is an accusation, not evidence of guilt.

Sources

1. U.S. Attorney's Office, Northern District of Illinois, "Illinois Investment Advisor Indicted on Fraud Charges for Allegedly Swindling Clients in Ponzi Scheme," June 25, 2026. https://www.justice.gov/usao-ndil/pr/illinois-investment-advisor-indicted-fraud-charges-allegedly-swindling-clients-ponzi
2. Indictment, United States v. Paaris Kopsaftis (N.D. Ill.), posted by the U.S. Attorney's Office. https://www.justice.gov/usao-ndil/media/1449761/dl?inline=
3. PacerMonitor, docket summary, USA v. Kopsaftis, No. 1:26-cr-00253 (N.D. Ill.). https://www.pacermonitor.com/public/case/66327234/USA_v_Kopsaftis

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