April 03, 2019. | AtoZ Markets -Two defunct Forex firms in the U.S have been recently fined over $2.7 million for the fraudulent Unique Forex Ponzi scheme they ran; in which they stole more than $700,000 from investors.
A New Jersey federal court said in its verdict papers, that Thomas Lanzana and his company Blackbox Pulse (Unique Forex), in collaboration with Nikolay Masanko and his company White Cloud Mountain, solicited funds from investors, luring them to participate in their Forex trading pools and other investments.
Based on the continuation of the initial anti-fraud enforcement action filed by the U.S. Commodity Futures Trading Commission (CFTC), which serves for customer protection purposes, both the fraudsters were ordered to pay $762,807.24 in restitution to the victim clientele, and $1.95 million in civil monetary penalties.
To pretend being a leading Forex brokerage company, both of Lanzana and Masanko distributed false account statements, showing a fake balance of $800,000 for a delusive Forex trading account, while the fact was that Lanzana concealed $12,000 in trading losses from investors.
The investors drowned in Lanzana’s Forex pool!
Among the other details of the news, the hoax claimed at least a total of $700,000 to trade in Forex pool trading dreams, as the brokers promised.
The court paper also read claims that Lanzana abused the investors’ funds in spending on his personal luxury, which included splendiferous golf clubs, costly cars, expensive jewelry, and other objects.
Lanzana was also said to have misappropriated $350,000 of the funds he got from the victim investors for his Forex pool which started in February 2013, to be dissolved in February 2017, without bringing any income during its operation period.
It is worth mentioning that in an immediate response to the complaint the CFTC filed in 2017 against the two names, the verdict issuing court made an emergency order of freezing their assets, along with prohibiting them from “destruction or concealment of their books and records”, as the court paper said.
In retrospect, Lanzana was said he would likely get 20 years in prison, and a fine of $250,000, or twice the gross gain or loss he caused the people in his Ponzi Scheme, as for the charge of mail fraud he was also involved in as per the reports of December of the last month, and a maximum penalty of 10-years imprisonment and a $1 million fine, or twice the gross gain or loss, for the charge of commodities fraud.