U.S. Master Sergeant Pleads Not Guilty After Alleged $400K Gain Betting on Maduro Ouster

NEW YORK, April 28 — A U.S. Army master sergeant accused of turning confidential military information into roughly $400,000 by wagering on the removal of Venezuelan President Nicolas Maduro pleaded not guilty to fraud charges on Tuesday in Manhattan federal court.

Gannon Van Dyke, a U.S. Army soldier accused of using classified information to place bets on Nicolas Maduro's ouster as Venezuelan president, at the Manhattan Federal Courthouse following his court appearance, in New York City, U.S., April 28, 2026. REUTERS/Brendan McDermid

Gannon Van Dyke, 38, stood and entered his plea before U.S. District Judge Margaret Garnett. "Not guilty, your honor," he said, appearing in a blazer, jeans and brown shoes.

Mark Geragos, attorney for Gannon Van Dyke, speaks to members of the media at Manhattan Federal Court after the U.S. Army soldier, accused of using classified information to place bets on the ouster of Venezuelan President Nicolas Maduro, appeared for a hearing in New York City, U.S., April 28, 2026. REUTERS/Jeenah Moon

Court Hearing And Charges

Federal prosecutors say Van Dyke placed about $33,000 in bets on the prediction market Polymarket between Dec. 27, 2025 and Jan. 2, 2026, wagering that Maduro would soon be out of office and that U.S. forces would enter Venezuela. Because markets at the time had assigned low probabilities to those outcomes, prosecutors say the wagers yielded roughly $400,000 when the events occurred.

FILE PHOTO: Captured Venezuelan President Nicolas Maduro is escorted at Downtown Manhattan Heliport, in New York City, U.S., January 5, 2026. REUTERS/Adam Gray/File Photo

The indictment brings five criminal counts against Van Dyke: unlawful use of confidential government information for personal gain, theft of non-public government information, commodities fraud, wire fraud, and making an unlawful monetary transaction. The Department of Justice characterized the case as the first time it has pursued insider-trading-style charges tied to activity on a prediction market. The Commodity Futures Trading Commission has also filed civil charges.

Military Role And Status

Prosecutors say Van Dyke, a master sergeant in U.S. Army Special Forces previously stationed at Fort Bragg, took part in the planning and execution of a Jan. 3, 2026, raid that captured Maduro and his wife, Cilia Flores. Defense attorney Mark Geragos told reporters after the hearing that he intends to challenge the indictment and said Van Dyke is "an American hero" who is charged with "something that is not a crime." Another defense lawyer, Zach Intrater, said Van Dyke is currently on leave from the military and that his ultimate service status is "a bit unsettled."

Bond, Travel Restrictions And Investigation

Judge Garnett released Van Dyke on $250,000 bond and imposed travel limits confining him to parts of North Carolina, New York and California, where he has family. Prosecutors said Polymarket flagged the trading activity to authorities and cooperated with investigators. Reuters previously reported that rival prediction platform Kalshi had blocked Van Dyke from opening an account because of the platform's identification requirements.

Next Steps

Van Dyke's next court appearance is scheduled for June 8. The defense has signaled plans to contest both the facts and the legal theory underlying the charges; prosecutors maintain the case represents unlawful use of privileged government information for personal financial gain.

Note: The facts in this article are based on the federal indictment and statements by prosecutors and defense counsel made in open court.