Finnish Police Seize $2.6M in Luxury Watches from Hex Founder

Finnish authorities have seized 20 luxury watches, valued at approximately $2.68 million, from Hex founder Richard Schueler (aka Richard Heart). Among the confiscated items were several Rolexes, discovered at a residence in Espoo, according to Finland’s national broadcaster, Yleisradio Oy (Yle).

The seizure is part of an ongoing investigation into Schueler, who is wanted in Finland for tax evasion and faces allegations of extravagant spending on luxury goods, reportedly including $12 million misappropriated from his cryptocurrency venture.

Interpol and SEC Investigations

The news follows a late December report that Interpol issued an arrest request for Schueler, citing charges of tax fraud and assault. One incident reportedly involved the physical assault of a 16-year-old, during which Schueler allegedly dragged the victim by their hair and knocked them down.

In addition to Finnish authorities, the U.S. Securities and Exchange Commission (SEC) is investigating Schueler and his cryptocurrency Hex for potentially selling unregistered securities.

The SEC alleges that Schueler raised over $1 billion through unregistered securities linked to Hex, PulseChain, and PulseX. The regulator also claims Hex fails the Howey Test, defining it as a security. Hex’s token value has since plummeted 98.4% from its peak.

Detective Insights and Case Details

According to Harri Saaristola, the detective leading the investigation, many of the luxury watches were purchased in Finland, while others were acquired in the U.S. Finnish authorities tracked the goods using intelligence services.

The SEC’s complaint details Schueler’s marketing of Hex as a “high-yield blockchain certificate of deposit” and accuses him of promoting unrealistic returns.

“Heart began marketing Hex in 2018, claiming it was the first high-yield blockchain certificate of deposit designed to make people ‘rich,’” the complaint states.

In summer 2023, Schueler filed a motion to dismiss the SEC charges.

The seizure of $2.6 million in luxury watches highlights the ongoing scrutiny surrounding Richard Schueler’s financial dealings. With investigations by Finnish authorities, Interpol, and the SEC, Schueler’s legal troubles span multiple jurisdictions, further complicating the future of his cryptocurrency ventures.