A special forces soldier involved in the capture of Venezuelan President Nicolás Maduro pleaded not guilty Tuesday to misusing classified information about the operation to make over $400,000 in illegal profits.
Gannon Ken Van Dyke, a 38-year-old active duty soldier stationed at Fort Bragg, appeared in civilian clothes before Judge Margaret Garnett in New York.
The case is the first time federal prosecutors have charged anyone in connection with bets placed on a prediction market, the popular space where people bet “yes” or “no” on outcomes including sports games, Taylor Swift’s wedding and geopolitical events.
“Mr. Van Dyke is an American hero,” said Mark Geragos, an attorney for Van Dyke, after the arraignment. Geragos said Van Dyke has been charged “with something that is not a crime” and vowed to challenge the “core” of the allegations.
Van Dyke was ordered to surrender his passport and firearms and released on a $250,000 bond. He is due back in court on June 8.
Zach Intrater, another of Van Dyke’s attorneys, told the judge the solider is currently on leave.
“As of right now he’s still associated with the military,” Intrater said.
Prosecutors allege Van Dyke was involved in the planning and execution of the unprecedented military action in the early hours of January 3, when US soldiers extracted Maduro and his wife from the presidential palace in Caracas under heavy gunfire.
Authorities allege Van Dyke used his knowledge of the classified operation to place bets on Polymarket in the days and hours leading up to the operation. Van Dyke allegedly placed $32,000 in bets on US involvement in Venezuela, including that Maduro would be “out” of Venezuela by the end of January. After the successful raid, Van Dyke’s bet paid off. He made over $400,000 in profits.
After Van Dyke’s arrest, President Donald Trump said in response to questions that he was concerned about the growing global trend of placing bets on geopolitical events, saying the world has become a “casino.” He added, “Now, I think that I’m not happy with it.”
This story has been updated with additional information.
