24 March, AtoZForex, Lagos – After the interesting, but painful exposé about UTrade’s dubious operations, and the consequent arrest of the Chief Executive Officer (CEO) of the Israeli investment company — Aviv Talmor – an Israeli court has now ruled to disband UTrade after Talmor refused to answer enquiries by investigators.
Having gone abroad in September 2015 in the wake of the investigation into UTrade’s activities, Aviv Talmor has now returned to face the music of his missteps. He was arrested, as soon as he stepped on the Israeli soil by the Israel Securities Authority (ISA).
Termination of investment activities
Back in December, the court ruled in favor of the Israel Securities Authority (ISA), levying the order on UTrade to immediately terminate all its investment activities. Affecting Lotriid Premium ltd directly, considering that Utrade is a brand name of this firm.
UTrade disbanding verdict
The latest development to this case is the disbanding verdict passed by a district court today. This became necessary after the firm’s owner failed to cooperate with the appointed temporary liquidator of the company summoned, after they summoned Talmor for investigation. The temporary liquidators say that he refused to respond to questions, as he tried to avoid incriminating himself further. They stated that “You can say that he didn’t answer any question and most of what he said were complaints that if he was allowed to do what he asked for he would have brought money for the creditors and this was prevented by the actions of the temporary liquidator.”
$12 million funds vanished
The saga began after ISA discovered that UTrade intentionally reported false monetary recordings of its business. From the firm’s financial report, it can be seen that UTrade raised $12 million in funds through its attracted investors. Yet, when ISA assessed the firm’s bank account, it only showed NIS 300 million is left at the time, marking solely a fractional 1% of the aggregate funds gathered. Meanwhile, the company misled its investors reporting UTrade’s credit balance of NIS 48 million.
Digging further into the case, ISA questioned UTrade’s CFO Sami Sassoun and he confirmed that the firm owed $12 million to its investors, while close to NIS 48 million disappeared. Sassoun stated that he does not know where the funds disappeared to, also he mentioned to have only started working for UTrade in September 2015. At that time, Sassoun commented that the company account had only NIS 150,000.
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