California trader, associate accused in $5M Kentucky investment scam

LEXINGTON, Ky. — A California man once celebrated as a young trading prodigy has been indicted in Kentucky on charges that he and a business associate ran a multimillion-dollar investment scam that federal prosecutors say bilked clients out of millions and operated like a Ponzi scheme.

A federal grand jury returned the indictment last week against Mihir Deepak Sukthankar, 23, described as the owner of several trading firms, and Dylan Bryce Baker, who prosecutors say recruited investors. The two are accused of luring clients with promises of lucrative returns from trades in foreign exchange, options, and other financial instruments.

According to prosecutors, Sukthankar solicited clients in Kentucky and elsewhere, including from his home base in California, convincing them to deposit large sums into accounts he controlled. While claiming the money would be used for trades, investigators allege he mixed client funds with his own, used some to cover personal expenses, and tapped new deposits to pay earlier investors.

Court documents say Sukthankar built a password-protected website, dubbed the “Nvest Portal,” that showed inflated account balances and fictitious gains. Prosecutors allege the portal was deliberately manipulated to mislead clients about the existence and value of their investments.

Baker, operating under business names including Future Flow II LLC and Triple Bake LLC, allegedly introduced at least one Kentucky investor to Sukthankar. The indictment says Baker used the fabricated profits displayed on the portal to persuade the client to make additional investments, including a $4.2 million transfer to an account linked to one of Sukthankar’s partners.

The government says individual wire transfers linked to the scheme ranged from hundreds of thousands of dollars to more than $4 million. In some cases, clients were issued checks that later bounced for insufficient funds.

Both men are also accused of conspiring to launder the proceeds through various financial accounts in an effort to disguise their origin and ownership.

Public records indicate Sukthankar was arrested on Aug. 9, 2025, in Tarrant County, Texas, on suspicion of driving while intoxicated. Jail logs list a Fremont, California, address for him. It is unclear if he remains in custody.

If convicted, Sukthankar and Baker each face the possibility of decades in federal prison, substantial fines, and the forfeiture of assets prosecutors say were tied to the fraud.

This story has been updated.