CFTC Charges US Resident in Illegal $59 Million Foreign Exchange Scheme

The United States Commodity Futures Trading Commission (CFTC) confirmed yesterday that it has filed a civil suit against Eddy Alexandre, a resident of Valley Stream, New York, in a fraudulent FX scheme worth $59 million. dollars.

The US regulator took similar action against Alexander’s company, EminiFX Inc. Details shared by the CFTC show that Alexander promised a 5% weekly return to investors and took at least $59 million from hundreds of people to trade currencies and crypto-assets.

The CFTC noted that Alexander only uses 9% of client funds to trade forex and cryptocurrencies. He lost $6.2 million, or about 70% of the amount, due to unprofitable trades and fees. Alexander also used client funds for his personal expenses.

“The Complaint alleges that the Defendants also misappropriated large sums of the customers’ remaining money by sending it to accounts in Alexander’s name, using it to pay other customers as part of a scheme Ponzi scheme and using it for Alexander’s personal expenses. For example, Alexander used participants’ funds to make payments to BMW, Mercedes Benz and Saks Fifth Avenue. Payments were also made for flights, luxury hotels, clothing and occupational therapy and physiotherapy. Alexandre also used substantial funds from participants to rent and furnish offices for EminiFX and to organize “galas” on behalf of EminiFX”, CFTC Noted.

FX Fraud Notice

FX and crypto frauds have started to rise again in the United States. To warn investors against fraudulent activity, the CFTC has issued several FX Fraud Notices in the past. The authority also urged investors to check an individual’s or company’s registration with the CFTC to gauge their credibility.

“The CFTC has issued several customer protection fraud advisories that provide the warning signs of fraud, including the Commodity Pool Fraud Advisory and Forex Fraud Advisory, which alert customers to these types of fraud and list common easy ways to spot them and inform the public about the possible risks associated with investing or speculating in virtual currencies or recently launched Bitcoin futures and options,” the CFTC added.

The United States Commodity Futures Trading Commission (CFTC) confirmed yesterday that it has filed a civil suit against Eddy Alexandre, a resident of Valley Stream, New York, in a fraudulent FX scheme worth $59 million. dollars.

The US regulator took similar action against Alexander’s company, EminiFX Inc. Details shared by the CFTC show that Alexander promised a 5% weekly return to investors and took at least $59 million from hundreds of people to trade currencies and crypto-assets.

The CFTC noted that Alexander only uses 9% of client funds to trade forex and cryptocurrencies. He lost $6.2 million, or about 70% of the amount, due to unprofitable trades and fees. Alexander also used client funds for his personal expenses.

“The Complaint alleges that the Defendants also misappropriated large sums of the customers’ remaining money by sending it to accounts in Alexander’s name, using it to pay other customers as part of a scheme Ponzi scheme and using it for Alexander’s personal expenses. For example, Alexander used participants’ funds to make payments to BMW, Mercedes Benz and Saks Fifth Avenue. Payments were also made for flights, luxury hotels, clothing and occupational therapy and physiotherapy. Alexandre also used substantial funds from participants to rent and furnish offices for EminiFX and to organize “galas” on behalf of EminiFX”, CFTC Noted.

FX Fraud Notice

FX and crypto frauds have started to rise again in the United States. To warn investors against fraudulent activity, the CFTC has issued several FX Fraud Notices in the past. The authority also urged investors to check an individual’s or company’s registration with the CFTC to gauge their credibility.

“The CFTC has issued several customer protection fraud advisories that provide the warning signs of fraud, including the Commodity Pool Fraud Advisory and Forex Fraud Advisory, which alert customers to these types of fraud and list common easy ways to spot them and inform the public about the possible risks associated with investing or speculating in virtual currencies or recently launched Bitcoin futures and options,” the CFTC added.