Sunday, 1 February 2015
Last updated 2 days ago
Jan 25 2008 | 1:00am ET
A Virginia commodity pool operator charged with defrauding his investors has settled with the Commodity Futures Trading Commission.
Robert Lee Roane will pay $739,000 to dispose of allegations that he lied to investors and misappropriated funds. The CFTC has also banned him from trading and barred him from applying for registration with the regulator.
According to the CFTC, Roane raised nearly $800,000 from investors in 2005 and 2006, lying about past success—actually non-existent—in trading, promising a foolproof system. He wound up losing most of his clients’ money, and misappropriating much of the rest, spending $137,900 on personal expenses and another $28,600 to repay other participants.
To top it all off, the CFTC said, he was unregistered when running the commodity pool.
Jan 23 2015 | 1:00pm ET
In our new section, FINtech Focus, we will profile one of these firms each week. While fintech is a broad category, we will be focusing on firms that specifically cater to the alternative investment industry. Read more…