Ammo stolen from military recovered in Toronto abduction probe, 3 CAF members charged

Three military members have been arrested for their alleged roles in the abduction of a cryptocurrency exchange owner, Toronto police said Wednesday, expanding on an investigation they say uncovered hundreds of ammunition rounds allegedly stolen from the Canadian Armed Forces. 

What started as an abduction investigation eventually "became much larger," said Chief Myron Demkiw.

"Whether you are a member of the military or a member of police service or a public official, no one is above the law," said Demkiw, who has been managing the fallout from the service's Project South corruption scandal. 

The three military members are among seven arrested in what police described as an active investigation. 

Police allege 2,500 rounds of ammunition, about half of them blanks, and five over-capacity magazines were stolen from the military. That ammunition had not been reported stolen to the service before it was seized in the investigation, police said.

The Department of National Defence did not immediately respond to a request for comment Wednesday. It confirmed earlier this month that two members of the Canadian Armed Forces had been arrested on charges related to kidnapping, organized crime and firearms theft. 

Both accused, Talarambage Sachintha Fernando and James Moreau, were bombardiers with the 7 Toronto Regiment who were removed from duties and had their access restricted since their Aug. 11 arrest, DND said. 

Police now say a third military member, 24-year-old Jack Miley, was arrested on Sept 24. They did not comment on his rank. 

"These are highly trained individuals with access to firearms and that creates a lot of concern for not only our community but our officers," said Chief Supt. Joe Matthews, with the service's detective operations. 

Despite the DND's initial statement, a connection between those arrested and a larger organized crime group has not been revealed, though investigators were still combing through cellphones, Matthews said. 

Police were working to determine how the seven accused may have known each other, besides the two who belonged to the same regiment, he said. 

The investigation began on July 25, when officers responded to a reported abduction near Finch Avenue East and Bayview Avenue, police say. 

They allege the victim, the owner of a cryptocurrency exchange, was approaching his vehicle when he was taken at gunpoint, handcuffed and assaulted. The suspects tried to gain access to his "cryptocurrency assets and business-related security systems," a news release said. 

Police said the victim was later released and threatened not to contact authorities. He had minor injuries, said police, who declined to elaborate further on the abduction, citing the ongoing court cases. 

Within 24 hours, police say a suspect vehicle had been identified and two suspects were arrested. 

Multiple search warrants in the Greater Toronto Area turned up two 3D-printed handguns, a shotgun, two silencers and illicit drugs, among other items, police said. All but one of the seven accused is charged with kidnapping for ransom.

Of the 82 charges laid in the investigation, Fernando faces the most of any of the accused, with 20 mostly gun-related offences. Moreau is the only one of the three arrested military members to face a drug-related charge: two counts of possession for trafficking.

This report by The Canadian Press was first published Oct. 14, 2026. 

By Jordan Omstead | Copyright 2026, The Canadian Press. All rights reserved.