The U.S. Commodity Futures Trading Commission announced that it obtained a federal court judgment against two Mexican companies, MXBK Group S.A. de C.V. (MXBK), and its Forex division, MBFX S.A. (MBFX), requiring them jointly to pay restitution of $28,969,059 to defrauded U.S. customers and an equal amount as a civil monetary penalty.
The judgement ends one of the crazier sagas among forex scams. The case was initially raised in 2010 as the Mexican firms had solicited over 800 US clients to open managed accounts with the firms. Representatives told customers that the two firms were involved with Forex Trading and could expect results of around 1% a week. The end result though was that accounts had suffered large losses and account statements were falsified to represent gains (see case details).
When approached for their money, MBFX and MXBK stated that they had achieved gains through 2008, but lost 90% of their investments due to their broker, Swiss ACM causing them losses in 2009. The claims against ACM ultimately led to the broker being raided and the loss of their bid to attain banking license. As a result, ACM's business declined and they were subsequently acquired by Swissquote Bank (read more here) as they couldn't continue operating in Switzerland without a banking license.
During the court procedures, it was recognized that in fact the two companies had ceased being ACM clients well before the time of the accusations; thus absolving the broker's involvement. According to the CFTC's claims, the accusations against ACM were part of a deliberate move by MBFX and MXBK to lay the blame of their losses on the broker in order to cultivate client trust and raise additional funds.
The court found the firms guilty of fraud and misleading clients. As such, not only had MXBX and MBFX and Co. defrauded clients, but they managed to tarnish and send a broker out of business on their way down.
What is interesting about this case and other similar ones is that the defendants did trade and lose the funds they received as opposed to operating a Ponzi scheme. What this represents is that those involved truly believed they could beat the market, or at least keep raising money and doubling down until they achieved success. While no results are ever guaranteed, the case shows the importance of working with companies using reputable accounting firms and who can prove their performance.
The Order, entered on March 7, 2013, by Chief Judge Ted Stewart of the U.S. District Court for the District of Utah, finds that MXBK and MBFX accepted at least $28 million from more than 800 U.S. customers to trade forex transactions in pooled accounts. The Order finds that MXBK and MBFX defrauded their customers, in part, by misrepresenting their historical trading results. The Order also finds that MXBK and MBFX willfully made, or caused to be made, false reports or statements to their customers regarding the profitability of their accounts.
The Order also imposes permanent trading and registration bans against MXBK and MBFX and prohibits them from violating the anti-fraud provisions of the Commodity Exchange Act, as charged.
The CFTC’s enforcement action arose from a joint CFTC cooperative enforcement investigation with the Federal Bureau of Investigation (FBI), the Internal Revenue Service (IRS), and the Securities and Exchange Commission (SEC). On November 30, 2010, the SEC filed a complementary action in the U.S. District Court for the District of Utah (SEC v. Oram), which alleged violations of U.S. securities laws by three U.S. residents alleged to be involved in the MXBK and MBFX enterprise.
The U.S. Commodity Futures Trading Commission announced that it obtained a federal court judgment against two Mexican companies, MXBK Group S.A. de C.V. (MXBK), and its Forex division, MBFX S.A. (MBFX), requiring them jointly to pay restitution of $28,969,059 to defrauded U.S. customers and an equal amount as a civil monetary penalty.
The judgement ends one of the crazier sagas among forex scams. The case was initially raised in 2010 as the Mexican firms had solicited over 800 US clients to open managed accounts with the firms. Representatives told customers that the two firms were involved with Forex Trading and could expect results of around 1% a week. The end result though was that accounts had suffered large losses and account statements were falsified to represent gains (see case details).
When approached for their money, MBFX and MXBK stated that they had achieved gains through 2008, but lost 90% of their investments due to their broker, Swiss ACM causing them losses in 2009. The claims against ACM ultimately led to the broker being raided and the loss of their bid to attain banking license. As a result, ACM's business declined and they were subsequently acquired by Swissquote Bank (read more here) as they couldn't continue operating in Switzerland without a banking license.
During the court procedures, it was recognized that in fact the two companies had ceased being ACM clients well before the time of the accusations; thus absolving the broker's involvement. According to the CFTC's claims, the accusations against ACM were part of a deliberate move by MBFX and MXBK to lay the blame of their losses on the broker in order to cultivate client trust and raise additional funds.
The court found the firms guilty of fraud and misleading clients. As such, not only had MXBX and MBFX and Co. defrauded clients, but they managed to tarnish and send a broker out of business on their way down.
What is interesting about this case and other similar ones is that the defendants did trade and lose the funds they received as opposed to operating a Ponzi scheme. What this represents is that those involved truly believed they could beat the market, or at least keep raising money and doubling down until they achieved success. While no results are ever guaranteed, the case shows the importance of working with companies using reputable accounting firms and who can prove their performance.
The Order, entered on March 7, 2013, by Chief Judge Ted Stewart of the U.S. District Court for the District of Utah, finds that MXBK and MBFX accepted at least $28 million from more than 800 U.S. customers to trade forex transactions in pooled accounts. The Order finds that MXBK and MBFX defrauded their customers, in part, by misrepresenting their historical trading results. The Order also finds that MXBK and MBFX willfully made, or caused to be made, false reports or statements to their customers regarding the profitability of their accounts.
The Order also imposes permanent trading and registration bans against MXBK and MBFX and prohibits them from violating the anti-fraud provisions of the Commodity Exchange Act, as charged.
The CFTC’s enforcement action arose from a joint CFTC cooperative enforcement investigation with the Federal Bureau of Investigation (FBI), the Internal Revenue Service (IRS), and the Securities and Exchange Commission (SEC). On November 30, 2010, the SEC filed a complementary action in the U.S. District Court for the District of Utah (SEC v. Oram), which alleged violations of U.S. securities laws by three U.S. residents alleged to be involved in the MXBK and MBFX enterprise.
Retail Trading & Prop Firms in 2025: Five Defining Trends - And One Prediction for 2026
Executive Interview | Charlotte Bullock | Chief Product Officer, Bank of London | FMLS:25
Executive Interview | Charlotte Bullock | Chief Product Officer, Bank of London | FMLS:25
In this interview, we sat down with Charlotte Bullock, Head of Product at The Bank of London, previously at SAP and now shaping product at one of the sector’s most ambitious new banking players.
Charlotte reflects on the Summit so far and talks about the culture inside fintech banks today. We look at the pressures that come with scaling, and how firms can hold onto the nimble approach that made them stand out early on.
We also cover the state of payments ahead of her appearance on the payments roundtable: the blockages financial firms face, the areas that still need fixing, and what a realistic solution looks like in 2026.
In this interview, we sat down with Charlotte Bullock, Head of Product at The Bank of London, previously at SAP and now shaping product at one of the sector’s most ambitious new banking players.
Charlotte reflects on the Summit so far and talks about the culture inside fintech banks today. We look at the pressures that come with scaling, and how firms can hold onto the nimble approach that made them stand out early on.
We also cover the state of payments ahead of her appearance on the payments roundtable: the blockages financial firms face, the areas that still need fixing, and what a realistic solution looks like in 2026.
In this conversation, we sit down with Drew Niv, CSO at ATFX Connect and one of the most influential figures in modern FX.
We speak about market structure, the institutional view on liquidity, and the sharp rise of prop trading, a sector Drew has been commenting on in recent months. Drew explains why he once dismissed prop trading, why his view changed, and what he now thinks the model means for brokers, clients and risk managers.
We explore subscription-fee dependency, the high reneging rate, and the long-term challenge: how brokers can build a more stable and honest version of the model. Drew also talks about the traffic advantage standalone prop firms have built and why brokers may still win in the long run if they take the right approach.
In this conversation, we sit down with Drew Niv, CSO at ATFX Connect and one of the most influential figures in modern FX.
We speak about market structure, the institutional view on liquidity, and the sharp rise of prop trading, a sector Drew has been commenting on in recent months. Drew explains why he once dismissed prop trading, why his view changed, and what he now thinks the model means for brokers, clients and risk managers.
We explore subscription-fee dependency, the high reneging rate, and the long-term challenge: how brokers can build a more stable and honest version of the model. Drew also talks about the traffic advantage standalone prop firms have built and why brokers may still win in the long run if they take the right approach.
Executive Interview | Remonda Z. Kirketerp Møller| CEO & Founder Muinmos | FMLS:25
Executive Interview | Remonda Z. Kirketerp Møller| CEO & Founder Muinmos | FMLS:25
In this interview, Remonda Z. Kirketerp Møller, founder of Muinmos, breaks down the state of AI in regtech and what responsible adoption really looks like for brokers. We talk about rising fragmentation, the pressures around compliance accuracy, and why most firms are still in the early stages of AI maturity.
Ramanda also shares insights on regulator sandboxes, shifting expectations around accountability, and the current reality of MiCA licensing and passporting in Europe.
A concise look at where compliance, onboarding, and AI-driven processes are heading next.
In this interview, Remonda Z. Kirketerp Møller, founder of Muinmos, breaks down the state of AI in regtech and what responsible adoption really looks like for brokers. We talk about rising fragmentation, the pressures around compliance accuracy, and why most firms are still in the early stages of AI maturity.
Ramanda also shares insights on regulator sandboxes, shifting expectations around accountability, and the current reality of MiCA licensing and passporting in Europe.
A concise look at where compliance, onboarding, and AI-driven processes are heading next.
In this conversation, we speak with Aydin Bonabi, CEO and co-founder of Surveill, a firm focused on fraud detection and AI-driven compliance tools for financial institutions.
We start with Aydin’s view of the Summit and the challenges brokers face as fraud tactics grow more complex. He explains how firms can stay ahead through real-time signals, data patterns, and early-stage detection.
We also talk about AI training and why compliance teams often struggle to keep models accurate, fair, and aligned with regulatory expectations. Aydin breaks down what “good” AI training looks like inside a financial environment, including the importance of clean data, domain expertise, and human oversight.
He closes with a clear message: fraud is scaling, and so must the tools that stop it.
In this conversation, we speak with Aydin Bonabi, CEO and co-founder of Surveill, a firm focused on fraud detection and AI-driven compliance tools for financial institutions.
We start with Aydin’s view of the Summit and the challenges brokers face as fraud tactics grow more complex. He explains how firms can stay ahead through real-time signals, data patterns, and early-stage detection.
We also talk about AI training and why compliance teams often struggle to keep models accurate, fair, and aligned with regulatory expectations. Aydin breaks down what “good” AI training looks like inside a financial environment, including the importance of clean data, domain expertise, and human oversight.
He closes with a clear message: fraud is scaling, and so must the tools that stop it.
Exness expands its presence in Africa: Inside our interview with Paul Margarites in Cape Town
Exness expands its presence in Africa: Inside our interview with Paul Margarites in Cape Town
Finance Magnates met with Paul Margarites, Exness regional commercial director for Sub-Saharan Africa, during a visit to the firm’s office opening in Cape Town. In this talk, led by Andrea Badiola Mateos, Co-CEO at Finance Magnates, Paul shares views on the South African trading space, local user behavior, mobile trends, regulation, team growth, and how Exness plans to grow in more markets across the region. @Exness
Read the article at: https://www.financemagnates.com/thought-leadership/exness-expands-its-presence-in-africa-inside-our-interview-with-paul-margarites/
#exness #financemagnates #exnesstrading #CFDtrading #tradeonline #africanews #capetown
Finance Magnates met with Paul Margarites, Exness regional commercial director for Sub-Saharan Africa, during a visit to the firm’s office opening in Cape Town. In this talk, led by Andrea Badiola Mateos, Co-CEO at Finance Magnates, Paul shares views on the South African trading space, local user behavior, mobile trends, regulation, team growth, and how Exness plans to grow in more markets across the region. @Exness
Read the article at: https://www.financemagnates.com/thought-leadership/exness-expands-its-presence-in-africa-inside-our-interview-with-paul-margarites/
#exness #financemagnates #exnesstrading #CFDtrading #tradeonline #africanews #capetown
