CFTC SUES ALLEGED ‘BUCKET SHOP’ MY FOREX FUNDS AFTER $310 MILLION PROP TRADING FRAUD

CFTC SUES ALLEGED ‘BUCKET SHOP’ MY FOREX FUNDS AFTER $310 MILLION PROP TRADING FRAUD

The Commodity Futures Trading Commission (CFTC) has taken legal action against Murtuza Kazmi and his entities
collectively known as “My Forex Funds,” over allegations of fraudulent solicitation of customers in leveraged retail foreign exchange (retail forex)
and leveraged retail commodity transactions. The CFTC filed a complaint in the U.S. District Court for the District of New Jersey against Murtuza Kazmi and his companies, Traders Global Group Inc. (a New Jersey corporation) and Traders Global Group Inc. (a Canadian business organization), both of which operated as “My Forex Funds.”

My Forex Funds’ entity Traders Global was the counterparty to most trades CFTC

The CFTC’s complaint centers on the fraudulent marketing of their services
where they promised customers the opportunity to become “professional traders” using Traders Global’s capital to trade against third-party “liquidity providers” and share in trading profits. However, it revealed that Traders Global the counterparty to most customer trades, not third-party liquidity providers. The defendants accused of employing various tactics to reduce customers’ chances of trading profitably, including terminating customer accounts
imposing misleading commissions, executing orders at unfavorable prices, and disadvantaging successful customers to increase losses.

Since November 2021, more than 135,000 customers have joined Traders Global’s trading program, collectively paying over $310 million in fees. It alleged that Kazmi used the proceeds from this alleged fraudulent scheme to acquire luxury properties and vehicles and transferred tens of millions of dollars to his personal accounts.

My Forex Funds seeks to unfreeze bank accounts

The CFTC’s legal action against Murtuza Kazmi and “My Forex Funds” underscores its commitment to protecting retail customers from fraudulent activities within the trading space. As the case unfolds, the CFTC aims to secure restitution for affected investors and hold accountable those involved in alleged fraudulent activities in the commodity and forex markets.

Meanwhile, MyForexFunds.com has updated its landing page with a message to traders
acknowledging that regulatory authorities in Canada and the United States have issued orders freezing their ability to trade securities or access funds in their bank accounts. They express their intent to engage with regulators to address their concerns and note that a court date
to determine whether the freeze orders should be lifted or modified is scheduled for September 11 in the U.S.
with another hearing later that same week in Canada. They hope for a swift resolution of the matter and commit to providing updates as events progress.

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