My Forex Funds, the prop firm that was forced to shut down its services overnight in August 2023, announced that a Canadian court has approved the handover of its assets in the country.
A Relaunch about to Happen?
“We are in the process of regaining full control over our assets, data and systems,” the prop firm wrote in an X post yesterday (Tuesday). The now-shuttered prop firm is calling the asset handover the third step of its ongoing road map that might lead to its relaunch.
However, the revealed road map only hinted at a possible relaunch and did not confirm it.
“The phase of reassembling the MyForexFunds team can now begin,” the X post continued. “With the right people back in place, a full analysis and operational review will follow, bringing us one step closer to the next chapter for MyForexFunds and our global trading community.”
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The Rise, Fall and Now Resurrection?
Although My Forex Funds closed its business more than two years ago, it returned earlier this year when a US court dismissed the fraud case brought by the Commodity Futures Trading Commission (CFTC). The court also granted a sanctions motion against the regulator at the prop firm’s request.
The CFTC initially charged My Forex Funds and its CEO, Murtuza Kazmi, with fraud in August 2023. According to the regulator, the company generated at least $310 million in fees through its prop trading business. The platform reportedly served more than 135,000 customers between November 2021 and the time of its shutdown.
However, the regulator’s actions — including a temporary restraining order and asset freeze — shut down the business overnight. It later came to light that CFTC representatives had “deliberately” mischaracterised a tax payment to obtain the freeze order. After a legal challenge by the defence, the court lifted most of the asset freeze on Kazmi’s holdings.
Not everyone at the CFTC supported how the case was handled. Caroline Pham, now Acting Chair and formerly a Commissioner, raised concerns about the enforcement team’s behaviour.
“This is a grave matter, and we, the Commission, will be subject to intense scrutiny over how we handle the alleged CFTC misconduct,” Pham stated. “This type of behaviour cannot be tolerated at a law enforcement agency.”
The situation escalated further when the CFTC placed four lawyers and one investigator on administrative leave following allegations of misconduct. Although the regulator did not name anyone, two individuals mentioned in earlier court filings are Ashley Burden, the CFTC’s lead attorney, and Matthew Edelstein, an investigator.
Burden later admitted that he was “careless and sloppy” during the investigation.
After Pham’s public comments, US Senator Charles Grassley also raised questions about the CFTC’s “process and procedure” around internal disciplinary actions.
