Tag: CFTC

CFTC fine
November 18, 2021 BY Steffy Bogdanova

CFTC issues a $7 million penalty in binary options fraud scheme

The court found that Fingerhut, Barak and Valariola have fraudulently solicited customers through emails, websites, and video sales letters by promising free access to reportedly successful automated trading systems which traded in binary options involving commodity interests and digital assets. The claims the defendants made misrepresented hypothetical and fictitious trading results as real results, and…

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October 28, 2021 BY Steffy Bogdanova

CFTC and SEC charge SwapStar with investment fraud

The regulators noted that Rege and SwapStar used part of the money to trade commodity interests through accounts they owned. Some of the client funds were used to pay bogus gains to some clients, to return original investments amounts to others and to pay for some of Rage's personal expenses. Additionally, Rage failed to disclose…

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Whistleblower receives $9 million award from CFTC
October 22, 2021 BY Steffy Bogdanova

Whistleblower receives a $200 million award from CFTC

The CFTC explained that in order to qualify for the award, a whistleblower who provided significant information to an investigation, must demonstrate a connection between their contribution and the regulator’s ability to successfully complete its investigation, and to either obtain a settlement or prevail in a litigated proceeding. The CFTC has determined that this whistleblower…

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CFTC
October 21, 2021 BY Steffy Bogdanova

CFTC brings charges in a $3.9 million forex and crypto fraud scheme

According to the CFTC, since September 2020, the defendants solicited through different channels, including Kikit’s website, over $3.9 million from 61 clients. The clients gave their money to the defendants to manage them in customized client portfolios for forex and crypto trading. The regulator stated that the defendants did not trade with their clients funds…

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CFTC fine
October 15, 2021 BY Steffy Bogdanova

CFTC fines UBS $500K for deleted audio files

According to the regulator, before June 2019, UBS implemented multiple software systems to comply with its recordkeeping obligations. These systems operate its trader turret communication devices and recorded and stored voice recordings of calls occurring on these trader turrets. The recording systems had a know flaw causing them to fail to synchronize certain call data.…

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CFTC fine
September 30, 2021 BY Steffy Bogdanova

CFTC orders Societe Generale to pay $1.5 million for reporting violations

The CFTC said: The order also finds that Societe Generale failed to report certain swap valuation data to an SDR accurately. Societe Generale also failed to maintain an adequate supervisory system and failed to perform its supervisory obligations diligently with respect to mid-market mark disclosures. Acting Director of Enforcement Vincent McGonagle, said: This is another…

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CFTC fine
September 29, 2021 BY Steffy Bogdanova

CFTC fines Kraken $1.25 million for offering margined crypto products to US customers

Acting Director of Enforcement Vincent McGonagle, said: This action is part of the CFTC’s broader effort to protect U.S. customers. Margined, leveraged or financed digital asset trading offered to retail U.S. customers must occur on properly registered and regulated exchanges in accordance with all applicable laws and regulations. According to the CFTC, Kraken offered margined…

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CFTC fine
September 28, 2021 BY Steffy Bogdanova

CFTC fines Refinitiv $650K for swap reporting violations

As a result, the company failed to report certain swap creation data for hundreds of thousands of trades. The missing swap creation data included the financial entity status and the US person indicator for each counterparty. The CFTC determined that Refinitiv had to know or had reasons to suspect there were reporting omissions.  The Commission…

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CFTC
September 17, 2021 BY Steffy Bogdanova

CFTC brings forex fraud charges in a $426K Ponzi Scheme

The CFTC further alleges that Bryant made numerous false statements to potential and current pool participants about his trading experience, his success rate, and being registered with the National Futures Association. Bryant omitted to disclose that he was a convicted criminal with a history of financial problems, including three bankruptcies. The regulator explained that instead…

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