US CFTC Files Complaint Against Four Individuals and Their Unincorporated Entity for Operating a Fraudulent Project
The US Commodity Futures Trading Commission (CFTC) recently announced that it has filed a complaint against four individuals and their unincorporated entity for orchestrating a fraudulent project involving precious metals and digital assets. The alleged scam had attracted over 14,000 customers at its peak.
Key Points:
- The complaint was filed in the US District Court for the Middle District of Florida against Rene Larralde, Brian Early, Alisha Ann Kingrey, and Juan Pablo Valcarce.
- The group, along with their unincorporated entity called Fundsz, were charged with fraudulent solicitation from clients to trade in cryptocurrencies and precious metals.
- The project promised investors over 3% returns per week using a proprietary algorithm for trading.
- The defendants claimed to have made on-time and accurate payments for seven years and promised a one-time $2,500 investment could turn into $1 million within 48 months.
- The CFTC argued that the defendants never actually traded any funds and all clients’ gains were fictional.
Director of Enforcement Ian McGinley emphasized the importance of being cautious with investments, stating, “if something sounds too good to be true, it probably is.”
Hot Take:
This case highlights the ongoing efforts of regulatory bodies to protect investors from fraudulent schemes in the cryptocurrency and precious metals markets. It serves as a reminder for individuals to exercise due diligence and skepticism when presented with investment opportunities that promise unusually high returns.
By
By
By
