13:49:21 EST Thu 26 Dec 2024
Enter Symbol
or Name
USA
CA



Login ID:
Password:
Save

CFTC seeks $204M (U.S.) judgment for Cartu, associates

2024-03-08 20:40 ET - Street Wire

This item is part of Stockwatch's value added news feed and is only available to Stockwatch subscribers.

Here is a sample of this item:

by Mike Caswell

The U.S. Commodity Trading Futures Commission has requested a $204.6-million judgment against Ontario's Jonathan Cartu and two other Canadians who were part of an options scheme that promised investors returns as high as 85 per cent. (All figures are in U.S. dollars.) The group inflicted losses of $51.1-million through overseas call centres that targeted U.S. investors over a period of five years, the CFTC says. Among other things, investors were promised quick returns on stock indices and commodities such as gold and silver, according to the CFTC.

The proposed penalties are contained in a motion that the CFTC filed in federal court in Texas on Feb. 28, 2024. The $204.6-million includes restitution of $51.1-million, representing the amount that the men realized from the scheme. On top of that, the CFTC says that a $153.4-million fine, representing triple the gains, is warranted. The CFTC is further seeking orders that would prohibit future violations.

The penalties would represent a default judgment, the defendants having failed to respond to the CFTC's allegations. In the case of Mr. Cartu, he initially defended the matter, denying that he did anything wrong. He said that there was no evidence he did anything to violate U.S. laws, as he had ever solicited a U.S. customer. He asked that the judge dismiss the case before it even went to trial.

The remainder is available to Stockwatch subscribers.
Sign-up for a FREE 30-day Stockwatch subscription and SEE NO ADS

© 2024 Canjex Publishing Ltd. All rights reserved.


Reader Comments - Comments are open to paying subscribers of Stockwatch and unmoderated, although libelous remarks, obscene language and impersonations may be deleted. Opinions expressed do not necessarily reflect the views of Stockwatch.
For information regarding Canadian libel law, please view the University of Ottawa's FAQ regarding Defamation and SLAPPs.


Another great article by Mike Caswell over at Stockwatch. Much appreciated. RM

Posted by ROBIN D MORIARTY at 2024-03-08 22:28

The CFTC cited the men for a five-year binary options scheme...

I understand the scheme...Heads we win, tails you lose!

Posted by Just Me at 2024-03-11 12:07