CFTC charges Whileon Shay and 4X Solutions with using client funds to pay personal expenses, luxury resorts, expensive restaurants, exotic car rentals…
The CFTC has charged New York based 4X Solutions, Inc. and its principal Whileon Chay with fraud claiming they were running a $4.8 million FX trading Ponzi scheme. The CFTC complaint alleges that Chay and 4X fraudulently solicited approximately $4.8 million by claiming, for example, that they had not suffered a single losing month in 14 years trading FX.
The CFTC further alleges that Chay lost about $2 million trading FX in corporate accounts and misappropriated approximately $2.8 million of client money — using that money to:
- fund 4X’s operations,
- make purported profit and investment return payments to customers (hence, the Ponzi Scheme charge), and
- pay for Chay’s personal expenses, including luxury resorts, expensive restaurants, limousine service, and exotic car rentals.