Colorado Resident Found Committing A Digital Asset-Based Ponzi Scheme Fraud

Ritika Sharma
Ritika Kumari Sharma is an Economics Honors graduate from the University of Calcutta. She is completely into finance and believes that cryptocurrencies are the future. She is an enthusiast learner about the cryptocurrency and blockchain technology.
  • Denver, Colorado Resident Breonna Clark was found committing fraud by the Commodity Futures Trading Commission (CTFC).
  • The charges against Clark and the company include having tricked U.S. residents to trade foreign currency (forex) contracts and digital assets within a commodity pool run by the duo and garnered $534,829 from 72 clients.

Denver, Colorado Resident Breonna Clark was found committing fraud by the Commodity Futures Trading Commission (CTFC) and has no been filed in for trial in the U.S. District Court for the District of Colorado. Along with Breonna, Venture Capital Investments Ltd. was also taken down for failing to register and comply with CTFC standards. 

The charges against Clark and the company include having tricked U.S. residents to trade foreign currency (forex) contracts and digital assets within a commodity pool run by the duo and garnered $534,829 from 72 clients. It was reported by the CTFC that at the very least $418,000 of the funds were channeled into the personal expenses for Clark and the company, with some portion of the money being used to make Ponzi scheme transactions to other participants in their fraudulent operations.  

The defendants are alleged to have made several fake claims about their expertise and investment business records in order to lure in more participants into their commodity pool promising large returns with little to no risk on their forex and digital asset trades, which in turn is the backbone of Ponzi scheme frauds.

They were also charged with forging fake account balance sheets which showed profits for their clients. In addition to fraud, the defendants were also accused of failing to register with the CTFC and comply with their regulations according to the Commodity Exchange Act. 

The legal actions taken by the CTFC will include reimbursing the affected clients with their funds with interest, charge civil monetary penalties and bans from registration and trading, and a permanent injunction of any future violations of the Commodity Exchange Act. The CTFC requires all companies to provide trading services to be registered with them and customers should always check for proof of registration before funding or participating in any such platforms. 

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