Archive for the ‘Commodities’ Category

Using Prison Time Productively

Monday, April 7th, 2008

From drug dealer to financial guru.  The Commodities Futures Trading Commission (CFTC) has alleged that Kenneth L. Branch (Branch) convinced 39 people to invest more than $1.4 million into a supposed commodities trading system - developed during his 12-year federal prison term for cocaine distribution - that supposedly produced “guaranteed” profits. (more…)

CFTC Nabs Michigan Ponzi Operators

Wednesday, February 13th, 2008

Ty and Monette Klotz, of Mason, Michigan, orchestrated a Ponzi scheme that they described as a “private hedge fund.”    Operating through companies called Aurifex Commodities Research Co. and Aurifex Research LLCthe Klotz’s told investors that investments in Aurifex had produced average returns of 20 percent per month, that the investments were without risk, and that they were insured through Lloyd’s of London.   To keep the scheme going, Ty Klotz sent fraudulent account statements to investors.  (more…)