The Commodity Futures Trading Commission (CFTC) has filed a lawsuit against several people and their company, Fundsz, alleging that they participated in a misleading scheme involving trading in cryptocurrencies and precious metals.There are accusations of deceptive investment solicitations against Rene Larralde from Melbourne, Florida, Juan Pablo Valcarce from West Melbourne, Florida, Brian Early from New Orleans, Louisiana, and Alisha Ann Kingrey from Franklin, Arkansas, as well as their unincorporated firm Fundsz. According to allegations, they lured investors in with unbelievable returns based on a fictitious “proprietary algorithm.”In a complaint filed in the U.S. District Court for the Middle District of Florida, the CFTC claimed that the defendants lured clients by guaranteeing consistent weekly earnings of 3% from trading in cryptocurrencies and precious metals.
They falsely claimed that Fundsz was a successful business and that a $2,500 investment could increase to $1 million in just 48 months. The defendants further misrepresented Fundsz’s affiliation with charity groups in order to profit from the appeal of supporting deserving projects.
The regulatory agency also claims that by fabricating phoney weekly returns, the defendants lured more than 14,000 people. However, according to the CFTC, Fundsz did not really trade customer funds. The entire business seems to have been founded on made-up gains and false claims.
A unilateral statutory restraining order was issued by Judge Wendy Berger of the U.S. District Court, essentially freezing the defendants’ assets and appointing a temporary receiver. The date of the preliminary injunction hearing is August 23. The CFTC works to promote fairness by seeking compensation for misled investors, recovering illegally acquired wealth, enforcing financial penalties, prohibiting trading and registration, and obtaining a permanent injunction against further violations.
Previously, the CFTC disclosed that Judge Naomi Reice Buchwald of the U.S. District Court for the Southern District of New York had rendered a default judgement. Michael Ackerman, a resident of Alliance, Ohio, was subject to a permanent injunction following this decision.