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CFTC Charges Firm With Fraud for Operating Ponzi Scheme

Jaclyn Jaeger | September 23, 2014

The U.S. Commodity Futures Trading Commission filed a federal civil enforcement action today in which it charged Executive Management Advisors and its sole principal with fraud and embezzlement for operating a Ponzi scheme.

The CFTC’s complaint, filed in the U.S. District Court for the Southern District of Ohio, charges that Executive Management Advisors and its sole principal, John Bullar, while acting as Commodity Pool Operators (CPOs) and Commodity Trading Advisors (CTAs), fraudulently solicited over $8.3 million from at least 40 investors for pooling and trading in futures and options; provided participants with false account statements; embezzled and misappropriated participants’ funds; and acted as CPOs and CTAs while failing to register as such with the CFTC.

The CFTC complaint alleges that the defendants represented to participants that their funds would be pooled in a managed account...

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