Denver Local Breonna Clark and Venture Capital Investments Ltd Face CFTC Lawsuit

News / 15.02.2020

The Commodity Futures Trading Commission (CFTC) recently filed charges against Denver Local Breonna Clark and Venture Capital Investments Ltd. As per CFTC’s statement on the 14th of February, the two firms defrauded investors and did not register with the agency.

Additionally, there were claims by Clark and Venture Capital Investments Ltd on the management of a forex and cryptocurrency trading pool, persuading US participants to involve themselves in it for alleged financial gain.

More on What the Fraud Involved

CFTC alleges that the two firms used falsely stated experience and financial documents to convince 72 individuals into the scheme and obtained $534,829. After deception, they provided individuals with fake documents to show trading profits and progress.

According to CFTC, the Clark and Venture Capital Investments Ltd never used investors’ money for trading activities. Instead, they spent $418,000 on unrelated purchases. They allegedly bought a luxury car and dished out ‘Ponzi-type payments’ to few who were part of the trading pool. At the time of writing, CFTC was yet to provide further information on the two firms.

Within the previous several months, different agencies slammed legal action against some firms in the cryptocurrency domain. Currently, Tether is fighting against three lawsuits that recently combined into one suit.

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Sudarshan M is a long time crypto-enthusiast. Pulled in by bitcoin early on, it did not take long for Sudarshan to divert all of his academic attention from business studies to blockchain by doing his Masters and eventually pursuing his PhD in the subject.