Collazo and his companies concealed trading losses, and misappropriated client funds for personal uses.
The CFTC has obtained a federal court order requiring defendants Angel F. Collazo (formerly of Puerto Rico) and his companies, ACJ Capital (ACJ) and Solid View Capital LLC to pay $843,444 in restitution plus a $750,000 civil monetary penalty for fraudulently soliciting customers to participate in a leveraged forex pool, misappropriating pool participant funds, and issuing false statements to conceal trading losses and misappropriation.
The CFTC also obtained a court order requiring defendants Fernando Clemente of Weston, Florida, and his company Felgi Investments Corp. to pay $30,000 in restitution, to disgorge $120,933 in pool participant funds to which they were not legitimately entitled, and to pay a $120,000 civil monetary penalty.
The Orders also impose permanent trading and registration bans against all defendants.
The court order finds that Collazo and his companies fraudulently solicited commodity pool participants by falsely claiming profitable returns, misappropriated pool funds to make payments to pool participants and for personal uses, distributed statements to ACJ and Solid View pool participants that contained false account values, including showing consistent trading profits.
For the CFTC press release click here.