New restrictions imposed on Bitwise founders from Fresno as they await federal fraud trial

Robert Rodriguez
·2 min read
Bitwise co-founders Jake Soberal and Irma Olguin Jr. walk out of the Robert E. Coyle Federal Courthouse in Fresno following their first court appearance on Nov. 9, 2023, on criminal allegations of wire fraud.

A federal magistrate tightened the conditions of release for former Bitwise co-founders Jake Soberal and Irma Olguin, who are facing fraud charges involving the collapse of their Fresno-based company.

U.S. Magistrate Judge Barbara A. McAuliffe ordered that Soberal and Olguin, who appeared in court Friday, must advise their attorneys before changing their residences or their phone number.

They are also restricted from traveling outside of specific federal court areas, including the eastern district, the central district, northern district and the district of Oregon without approval from pre-trial services.

Attorneys Daniel Olmos, who represents Olguin, and Eric MacMichael, who represents Soberal, agreed to the modifications.

Prosecutor Joseph Barton, with the U.S. Attorney’s Office, also did not object.

An officer with the court’s pretrial services said Soberal and Olguin have not been under court-ordered supervision given their lack of criminal history. And while McAuliffe agreed they didn’t need supervision, she said “a little supervision could go a long way.”

After Friday’s hearing, the defendants were required to report to the pre-trial services department to review the court-ordered conditions of their release.

As part of being allowed to remain free before their trial, Olguin and Soberal are also required to post a property bond to be secured by their private residences.

Olguin is using her mother’s house as collateral and Soberal is using his Fresno home.

The judge wanted to make sure that Soberal’s wife, who is on the home’s deed, was aware the property could be become the government’s if Soberal fails to comply with the conditions of his release.

The pre-trial officer said she will be informed.

Olguin and Soberal are charged with a federal charge of conspiring to commit wire fraud.

The tech entrepreneurs laid off their entire workforce of 900 people on May 29 after the company collapsed from millions of dollars of debt.

Court records show Olguin and Soberal admitted to deceiving board members, investors, lenders, and others about Bitwise’s finances to obtain investment money and loans.

If convicted, Olguin and Soberal each face a maximum penalty of 20 years in prison and a $250,000 fine.

Soberal and Olguin return to federal court on Jan. 25, 2024.