CFTC Charges Jody Dupont with Fraud Over Futures Trading Software
- Open Range and its principal Jody Dupont made a series of materially false claims through various means.
On Tuesday, the U.S. Commodity Futures Trading Commission (CFTC CFTC The 1974 Commodity Exchange Act (CEA) in the United States created the Commodity Futures Trading Commission (CFTC). The Commission protects and regulates market activities against manipulation, fraud, and abuse trade practices and promotes fairness in futures contracts. The CEA also included the Sad-Johnson Agreement, which defined the authority and responsibilities for the monitoring of financial contracts between the Commodity Futures Trading Commission and the Securities and Exchange Commiss The 1974 Commodity Exchange Act (CEA) in the United States created the Commodity Futures Trading Commission (CFTC). The Commission protects and regulates market activities against manipulation, fraud, and abuse trade practices and promotes fairness in futures contracts. The CEA also included the Sad-Johnson Agreement, which defined the authority and responsibilities for the monitoring of financial contracts between the Commodity Futures Trading Commission and the Securities and Exchange Commiss Read this Term), the independent agency that regulates futures and options markets, announced that it is suing in California district court Jody Dupont and his company for fraud and failing to register with the CFTC.
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The U.S. derivatives regulator says that Jody Dupont of South Carolina, and his company, Open Range Trading LLC fraudulently solicited victims to purchase a commodity futures day-trading system, called the Open Range Trading System, raking in a total of $92,000 by misrepresenting the software’s effectiveness. Defendants sold the ‘double your money’ software for as little as $250 per month to receive the basic trading signals and as much as $25,000 to receive the trading signals and other personalized trading advice.
In connection with the promotion of the software, Open Range and its principal Jody Dupont made a series of materially false claims through various means, including a website, social media, newsletters and verbal communications. Specifically, the claims to bolster the credibility of their system included that the system, out of 37 months, earned $700 to over $13,000 monthly in 30 months, while in fact it never had a trading account to make these purported profits, the Complaint charges.
In addition to false representations, the commission contends that Dupont personally claimed he has experience for over two decades in actual trading and investing in futures when in fact he was not.
Furthermore, the defendants didn’t provide on the Open Range website the disclosures required by CFTC Regulation Regulation Like any other industry with a high net worth, the financial services industry is tightly regulated to help curb illicit behavior and manipulation. Each asset class has its own set of protocols put in place to combat their respective forms of abuse.In the foreign exchange space, regulation is assumed by authorities in multiple jurisdictions, though ultimately lacking a binding international order. Who are the Industry’s Leading Regulators?Regulators such as the UK’s Financial Conduct Authority ( Like any other industry with a high net worth, the financial services industry is tightly regulated to help curb illicit behavior and manipulation. Each asset class has its own set of protocols put in place to combat their respective forms of abuse.In the foreign exchange space, regulation is assumed by authorities in multiple jurisdictions, though ultimately lacking a binding international order. Who are the Industry’s Leading Regulators?Regulators such as the UK’s Financial Conduct Authority ( Read this Term 4.41(b), which plainly states, “the results are based on simulated or hypothetical performance results that have certain inherent limitations.”
The allegations against Open Range and Mr. Dupont highlight regulators' concerns about the risks posed by commodity trading systems sold on the internet, including the potential to undermine market integrity. According to the watchdog, it has seen an increase in websites that fraudulently promote commodity trading systems and advisory services.
In addition to the fiscal penalties, including full restitution to defrauded investors, the commission seeks “permanent registration and trading bans, and a permanent injunction against future violations of federal commodities laws,” as charged.
On Tuesday, the U.S. Commodity Futures Trading Commission (CFTC CFTC The 1974 Commodity Exchange Act (CEA) in the United States created the Commodity Futures Trading Commission (CFTC). The Commission protects and regulates market activities against manipulation, fraud, and abuse trade practices and promotes fairness in futures contracts. The CEA also included the Sad-Johnson Agreement, which defined the authority and responsibilities for the monitoring of financial contracts between the Commodity Futures Trading Commission and the Securities and Exchange Commiss The 1974 Commodity Exchange Act (CEA) in the United States created the Commodity Futures Trading Commission (CFTC). The Commission protects and regulates market activities against manipulation, fraud, and abuse trade practices and promotes fairness in futures contracts. The CEA also included the Sad-Johnson Agreement, which defined the authority and responsibilities for the monitoring of financial contracts between the Commodity Futures Trading Commission and the Securities and Exchange Commiss Read this Term), the independent agency that regulates futures and options markets, announced that it is suing in California district court Jody Dupont and his company for fraud and failing to register with the CFTC.
Take the lead from today’s leaders. FM London Summit, 14-15 November, 2016. Register here!
The U.S. derivatives regulator says that Jody Dupont of South Carolina, and his company, Open Range Trading LLC fraudulently solicited victims to purchase a commodity futures day-trading system, called the Open Range Trading System, raking in a total of $92,000 by misrepresenting the software’s effectiveness. Defendants sold the ‘double your money’ software for as little as $250 per month to receive the basic trading signals and as much as $25,000 to receive the trading signals and other personalized trading advice.
In connection with the promotion of the software, Open Range and its principal Jody Dupont made a series of materially false claims through various means, including a website, social media, newsletters and verbal communications. Specifically, the claims to bolster the credibility of their system included that the system, out of 37 months, earned $700 to over $13,000 monthly in 30 months, while in fact it never had a trading account to make these purported profits, the Complaint charges.
In addition to false representations, the commission contends that Dupont personally claimed he has experience for over two decades in actual trading and investing in futures when in fact he was not.
Furthermore, the defendants didn’t provide on the Open Range website the disclosures required by CFTC Regulation Regulation Like any other industry with a high net worth, the financial services industry is tightly regulated to help curb illicit behavior and manipulation. Each asset class has its own set of protocols put in place to combat their respective forms of abuse.In the foreign exchange space, regulation is assumed by authorities in multiple jurisdictions, though ultimately lacking a binding international order. Who are the Industry’s Leading Regulators?Regulators such as the UK’s Financial Conduct Authority ( Like any other industry with a high net worth, the financial services industry is tightly regulated to help curb illicit behavior and manipulation. Each asset class has its own set of protocols put in place to combat their respective forms of abuse.In the foreign exchange space, regulation is assumed by authorities in multiple jurisdictions, though ultimately lacking a binding international order. Who are the Industry’s Leading Regulators?Regulators such as the UK’s Financial Conduct Authority ( Read this Term 4.41(b), which plainly states, “the results are based on simulated or hypothetical performance results that have certain inherent limitations.”
The allegations against Open Range and Mr. Dupont highlight regulators' concerns about the risks posed by commodity trading systems sold on the internet, including the potential to undermine market integrity. According to the watchdog, it has seen an increase in websites that fraudulently promote commodity trading systems and advisory services.
In addition to the fiscal penalties, including full restitution to defrauded investors, the commission seeks “permanent registration and trading bans, and a permanent injunction against future violations of federal commodities laws,” as charged.