CFTC Enforcement Actiions 2012

Hunter Wise Commodities, LLC., et. al. – Court Grants Preliminary Injunction

Published on: February 26, 2013 | By Russell L. Forkey, P.A.

United States Commodity Futures Trading Commission v. Hunter Wise Commodities, LLC., et. al., Case No. 12-81311-Civ-Middlebrooks, Southern District of Florida.

As a follow up to our recent post concerning the above referenced matter, the Court on February 25, 2013 followed its Order Appointing Special Corporate Monitor of February 22, 2013, by issuing its Order on Plaintiff’s Motion for Preliminary Injunction, which granted the same as more fully referenced in the below link.

Interestingly, the Court provided a brief discussion concerning the jurisdiction of the Commodity Futures Trading Commission (CFTC), with the most recent expansion of that jurisdiction being that contained in Section 742 of the Dodd-Frank Wall Street Reform and Consumer Protection Act of 2010, which granted the CFTC new authority over certain leveraged, margined, or financed commodity transactions with retail customers, including the authority to prohibit fraud in connection with such transactions in interstate commerce. This decision is extremely important for retail customers purchasing and selling precious metals with the use of leverage.

Hunter Wise Commodities, LLC., Hunter Wise Services, LLC., Hunter Wise Credit, LLC., et. al. – South Florida Precious Metals Fraud and Misrepresentation Litigation and Arbitration Attorney

Published on: February 25, 2013 | By Russell L. Forkey, P.A.

United States Commodity Futures Trading Commission v. Hunter Wise Commodities, LLC., Hunter Wise Services, LLC., Hunter Wise Credit, LLC., Hunter Wise Trading, LLC., Lloyds Commodities, LLC., Lloyds Commodities Credit Company, LLC., Lloyds Services, LLC., C.D. Hopkins Financial, LLC., Hard Asset Lending Group, Blackstone Metals Group, LLC., Newbridge Alliance, Inc., and United States Capital Trust, LLC., et. al (Case No. 12-81311-CIV-Middlebrooks, United States District Court for the Southern District of Florida).

As we advised in an earlier post, the Commodity Futures Trading Commission had instituted an action against, among others, the above named parties, which, at the time of filing, included a Motion for Preliminary Injunction, which was filed on December 6, 2012.

On Feburary 22, 2013, the Court held a hearing on the motion. At the hearing, the Court found that the motion was due to be granted. At the conclustion of the hearing, the parties that were present requested that, given the expediency required under the circumstances and the potential harm to the Defendants by the appointment of a receiver, that, at least for the present, the Court appoint a Special Monitor in lieu of a receiver. This request was approved by the Court.

Hunter Wise Commodities, LLC., Hunter Wise Services, LLC., Hunter Wise Credit, LLC., Hunter Wise Trading, LLC., Lloyds Commodities, C.D. Hopkins, James Burbage, Frank Gaudino, et. al. – Florida Precious Metals Fraud Arbitration and Litigation Attorney

Published on: December 7, 2012 | By Russell L. Forkey, P.A.

Precious Metals Fraud and Misrepresentation:

CFTC Charges Hunter Wise Commodities, Lloyds Commodities, C.D. Hopkins Financial, United States Capital Trust, Newbridge Alliance, Blackstone Metals Group, and their Principals in Multi-Million Dollar Fraudulent Precious Metals Scheme

CFTC alleges that defendants conducted illegal, off-exchange commodity transactions, and deceived customers in connection with financed transactions in precious metals

William Jeffery Chandler – Florida NFA Arbitration and Litigation Attorney

Published on: October 17, 2012 | By Russell L. Forkey, P.A.

CFTC Charges Florida Resident William Jeffery Chandler with Forex Fraud and Misappropriation

Federal court enters emergency order freezing defendant’s assets and protecting books and records

The U.S. Commodity Futures Trading Commission (CFTC) recently announced that on September 11, 2012, Judge James D. Whittemore of the U.S. District Court for the Middle District of Florida entered an emergency order freezing the assets of defendant William Jeffery Chandler of Ft Myers, Fla. The court’s order also prohibits Chandler from destroying or altering books and records. The judge set a hearing on the CFTC’s motion for a preliminary injunction for September 26, 2012.

Claudio Aliaga and CMA Capital Management, LLC. – Florida NFA Arbitration and Litigation Attorney

Published on: October 17, 2012 | By Russell L. Forkey, P.A.

Florida Federal Court Orders Claudio Aliaga and His Company, CMA Capital Management, LLC, to Pay $5.5 Million in Penalties and Restitution for Operating a Forex Ponzi Scheme

The U.S. Commodity Futures Trading Commission (CFTC) recently announced that it obtained a judgment for $5.5 million in restitution and civil monetary penalties against Claudio Aliaga and CMA Capital Management, LLC (CMA), of Miami Lakes, Florida, to settle an action charging defendants with operating a Ponzi scheme involving the fraudulent solicitation of at least $4.5 million from at least 125 individuals to invest in foreign currency (forex) managed accounts and/or a pooled investment.

On September 26, 2012, Judge Marcia G. Cooke of the U.S. District Court for the Southern District of Florida entered a consent order of permanent injunction against defendants. Specifically, the order requires the defendants to jointly pay restitution of $1.1 million, Aliaga to pay a civil monetary penalty of $3.3 million, and CMA to pay a civil monetary penalty of $1.1 million. The order also imposes permanent trading and registration bans against the defendants.

Martin B. Rosenthal – Florida Fraud NFA Arbitration and Litigation Attorney

Published on: October 17, 2012 | By Russell L. Forkey, P.A.

Federal Court Orders Martin B. Rosenthal to Pay $1.2 Million for Aiding and Abetting the Making of False Statements to the NFA, Failing to Register as a Commodity Trading Advisor, and Violating a Previous CFTC Order

The U.S. Commodity Futures Trading Commission (CFTC) recently announced that it obtained a federal court order requiring Martin B. Rosenthal of Fort Lauderdale, Fla., to pay a civil monetary penalty of $598,000 and disgorgement of $598,000 for aiding and abetting the willful concealment of material facts and the making of false statements to the National Futures Association (NFA), violating a previous CFTC order, and acting as an unregistered Commodity Trading Advisor (CTA). The order also imposes permanent trading and registration bans against Rosenthal and permanently prohibits him from further violations of the Commodity Exchange Act, as charged.

The consent order for permanent injunction, entered on September 27, 2012, by Judge James I. Cohn of the U.S. District Court for the Southern District of Florida, stems from a CFTC complaint filed on March 12, 2012.