CFTC v. Jose Rubio et al., Case No. 1:12-cv-22128 (S.D. Ga.). On June 7, 2012, the CFTC filed an enforcement action against Jose S. Rubio and Rubio Wealth Management, LLC (RWM) alleging they violated the Commodity Exchange Act by defrauding investors in connection with operating a commodity pool to trade commodity futures and off-exchange foreign currency contracts. From 2008 through the present, Rubio and RWN solicited more than $1.8 million from at least 21 investors. Rubio misappropriated the clients’ funds by using them to pay for personal debts and expenses, by transferring funds to another company he controlled, and by paying purported returns to clients by using their own funds or the funds of other clients. Rubio misappropriated at least $820,000 of clients’ funds and lost more than $900,000 in trading futures and foreign exchange currency contracts. To raise money, Rubio also distributed a false private placement memorandum (“PPM”). To conceal his trading losses, Rubio failed to distribute annual financial statements required by the PPM and associated subscription agreements. Rubio also sent a false account statement to a client showing phony trading profits. The CFTC seeks civil monetary penalties, restitution, trading and registration bans, and preliminary and permanent injunctions against further violations of the federal commodities laws.
- SEC Charges Microsoft Manager Brian Jorgenson and his Friend Sean Stokke with Insider Trading
- SEC Obtains Emergency Relief against Robert Helms and Janniece Kaelin in Alleged Ponzi Scheme
- SEC Charges Fifth Third Bancorp and its Former CFO Daniel Poston with Fraud for Accounting Practices during the Financial Crisis
- SEC Settles Insider Trading Case against Charles Langston III
- SEC Settles Penny Stock Case Against Curt Kramer for $1.4 Million
Other BraunHagey Blogs