June 27, 2025
Crypto

A wild binge, or a friendship turned to torture? Inside NYC’s crypto kidnapping case


Late last month, a bloodied and barefoot man ran from a townhouse in New York’s affluent Northern Little Italy neighbourhood.

WARNING: This story contains details that some readers might find distressing.

Hailing the attention of a traffic officer, he would recount an alleged tale of weeks-long torture and kidnapping.

The apparent purpose? To obtain his million-dollar crypto wallet.

A yellow tape cordons off a set of stairs and a door

The New York townhouse where the man was allegedly tortured.  (Reuters: David ‘Dee’ Delgado)

Now, as the two men charged with his kidnapping and assault plead not guilty, conflicting reports paint a more complex picture.

Was the man a victim of alleged greed or a willing participant in a wild bender?

Man allegedly doused in tequila and set alight

The alleged victim, a 28-year-old Italian national, hasn’t been named by officials but prosecutors say the defendants have known him for years.

They say the duo, John Woeltz, 37, and William Duplessie, 32, lured the man to the luxury townhouse by threatening to kill his family.

It was the third time the pair had allegedly tried to meet the man in person and coerce him into giving away his devices and cryptocurrency logins.

However, prosecutors say it was here where things took a significantly more violent turn.

During the 17 days the man was held hostage, he was subject to beatings, electrocutions and being set alight, prosecutors allege.

Police say they located photographs from the crime scene where Mr Woeltz and Mr Duplessie pointed a gun at the man’s head.

Police stand guard outside a yellow cordoned building and a man in a white bath robe

New York police officers arrest John Woeltz in late May.  (AP: Kava Gorna )

In another picture, the accused are allegedly seen setting the man on fire after dousing him with tequila.

When prodded by the judge as to why the man didn’t sustain injuries, Assistant District Attorney Sarah Khan said the defendants would quickly extinguish the flame — sometimes by urinating on him.

“They pistol-whipped him with a gun, they cut him with a small chainsaw and they used various other instruments,”

she said.

Police searching the townhouse say they found evidence that could corroborate this — including a loaded pistol, chainsaw, cocaine, and night vision goggles.

In his account to police, the Italian national also alleged the pair forced him to smoke from a crack pipe, and at one point, dangled him from a staircase five stories high.

He says it was only when he agreed to hand over his computer password, stored in another room, that he had the chance to flee.

Defence argues scenes of an ‘orgy’ and church visits

Meanwhile, lawyers for Mr Duplessie and Mr Woeltz have already laid out a far less grisly story, and say the alleged victim’s narrative is “entirely false”.

Instead, he was “having the time of his life” and even taking part in a “sex orgy” while at the townhouse, Mr Duplessie’s lawyer, Sanford Talkin, said.

The pair’s lawyers argued videos showed the accuser participating in group sex and smoking crack cocaine while “laughing and smiling the whole time”.

A man in a suit and red tie smiles

Sanford Talkin argued the alleged victim was taking part in an “orgy” during the period in question.  (Reuters: David ‘Dee’ Delgado)

In other photos, Mr Talkin said, the alleged victim is seen visiting an eyeglass store with one of the defendants and could have fled or sought help at any time.

“The story that he is selling doesn’t make sense,” Mr Talkin told the courtroom in the pair’s formal arraignment.

Mr Woeltz’s lawyer, Wayne Gosnell, added that witnesses told him the man came and went as he pleased — going to church, clubs and dinners.

“He could have talked to any passer-by and told them, ‘I’m in trouble, I need help,'” Mr Gosnell told the Manhattan judge.

A man in a blue suit in a side-on profile gestures with his hands

Wayne Gosnell, John Woeltz’s lawyer, said the alleged victim was allowed to come and go as he pleased.  (Reuters: Kylie Cooper)

Ms Khan argued someone who supported Mr Woeltz and Mr Duplessie was selectively leaking videos to present a counter-narrative.

In reality, she said, the accuser was constantly watched and wasn’t permitted to leave the house without being guarded.

Who are the accused?

Both Mr Woeltz and Mr Duplessie are crypto investors who were renting the New York townhouse for approximately $45,900 to $61,200 a month.

Mr Woeltz, who grew up in small-town Kentucky, was dubbed the “crypto king of Kentucky”.

A man in a white t-shirt stands in front of a small microphone

John Woeltz, 37, hails from small town Kentucky and is known for his crypto ties.  (Reuters: Curtis Means/Pool)

He was a former board member of Sprocket, a nonprofit entrepreneurship hub in his hometown of Paducah.

As details came to light, the organisation released a statement saying it was a “difficult and confusing time” for those who knew Mr Woeltz.

“These allegations are deeply troubling and feel profoundly out of character from the person we came to know,” the statement said.

Mr Duplessie similarly has long-time ties to the financial entrepreneurial world.

A now-deleted webpage credits Mr Duplessie as a CEO and co-founder of a liquidated blockchain fund, archived records show.

A man in a white polo shirt escorted by a police officer

William Duplessie was listed as a CEO and co-founder of a liquidated blockchain fund in Switzerland.  (AP: Yuki Iwamura)

The Switzerland-based firm labelled itself a “leader in the field of distressed blockchain companies”.

According to The New York Times, Mr Duplessie was also sued this year for “violently” rear-ending another car while driving a 2016 Porsche Cayman in Miami.

Furthermore, he has received eight traffic violations in Miami since December 2021, according to the publication.

What happens next?

Lawyers for the pair sought to release them on $US1 million ($1.5 million) bail in early June — which was denied.

They rejected suggestions their clients could flee the US.

Mr Duplessie’s lawyer said his client was “so far from a flight risk”.

He’s ready to fight this case. He’s not going anywhere.

Both face life in prison if convicted on the charges of kidnapping, assault, unlawful imprisonment and criminal possession of a weapon.

To date, their alleged victim hadn’t received his money or electronic devices back, prosecutors told the court.

ABC/Wires



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