Businessman Olof K Gustafsson sentenced to four years in prison for fraud in the US

Controversial businessman Olof K Gustafsson has been sentenced to four years in prison in Los Angeles for fraud. In addition to the prison sentence, he has been ordered to pay over 12 million Swedish kronor (approximately $1.1 million USD) in damages to victims.

Gustafsson, who communicated with Expressen via email, expressed no regret over his actions. "I regret nothing, I am a businessman and there are risks in all businesses. I am serving my time for the crimes I had to admit to avoid a longer sentence," he wrote. He also stated that he has "learned a lesson" and will never again engage in criminal activities or "shady business deals."

The court found that Gustafsson defrauded investors and customers by marketing and selling products that did not exist through his company, Escobar Inc. He claims the damages will be paid through the auction of two properties he owns in California. Gustafsson was arrested in Marbella, Spain, in 2023 and extradited to the U.S. in March 2025. He faced over 100 charges related to his time leading Escobar Inc. alongside Roberto Escobar, the brother of the late drug lord Pablo Escobar.