Archive for the ‘Currency Trading’ Category

SEC Halts Foreign Currency Futures Scam

Sunday, August 31st, 2008

The SEC has charged Patrick H. Haxton of Carrollton, Texas, and his company Royal Forex Management, LLC with securities fraud.  Specifically, the Commission claims that Haxton solicited investments by telling people that he had generated historical returns on foreign currency trading of 400% to 500% per year.  The fund actually lost money, and Haxton misappropriated what was left to his personal use.  The Commission alleges that some of the investments were never used to trade currency but instead went right into Haxton’s pocket.  (more…)

SEC Stops $27 Million Ponzi

Friday, May 9th, 2008

The Securities and Exchange Commission (SEC) has charged Las Vegas-based Gold-Quest International and its principals, David M. Greene, John Jenkins, and Michael McGee with running a Ponzi scheme and misappropriating investor funds.  A federal judge in Las Vegas has granted the SEC’s request for a temporary restraining order and an asset freeze against the defendants.  (more…)

CFTC Gets Final Judgment in Currency Trading Scheme

Saturday, December 15th, 2007

The Commodities Futures Trading Commission (CFTC) has obtained a final judgment against Cedric Stanton of Miramar, Florida and his company, Millennium Trading Group LLC (MTG) finding that they committed foreign currency (forex) futures and options fraud.  The judgment requires restitution of $10 million and payment of additional amounts in civil penalties.   (more…)

Gore’s Nobel Prize Presages Increase in Green Energy Scams

Tuesday, December 11th, 2007

Financial criminals stay up to date on current events.  It helps them craft schemes that seem more plausible.  Every fall heralds the emergence of commodities scams related to heating oil.  Every significant movement in the value of the dollar brings an increase in currency trading schemes.  Even a whiff of inflation results in the rollout of dozens of gold scams.  There is something about seeing something in the news that makes investors believe that an investment that addresses the topic is on the leading edge of a wave of potential profits.

Through two decades of protecting investors both at the SEC and in private practice, I have seen this too many times to believe that there are not hundreds of scam artists honing their pitch for investments in allegedly green energy solutions.  A recent story in Forbes details one such scam. (more…)