Foreign Exchange Ponzi Scheme Perpetrator Jailed After FCA Charges
- UK court of law sentenced Philip Boakes to ten years in prison after defrauding his victims of £3.5 million through his company, CurrencyTrader Ltd, claiming to be investing their funds in spread betting.
After last summer, the U.K. Financial ConductAuthority charged Phillip Boakes on six counts, including theft and six counts of fraud. The Southwark Crown Court sentenced him to 10 years in prison after the perpetrator admitted guilt on a total of six counts.
Boakes defrauded over 30 investors out of more than £3.5 million, after soliciting them to invest with his company CurrencyTrader Ltd. While he claimed to be managing a foreign Exchange Exchange An exchange is known as a marketplace that supports the trading of derivatives, commodities, securities, and other financial instruments.Generally, an exchange is accessible through a digital platform or sometimes at a tangible address where investors organize to perform trading. Among the chief responsibilities of an exchange would be to uphold honest and fair-trading practices. These are instrumental in making sure that the distribution of supported security rates on that exchange are effectiv An exchange is known as a marketplace that supports the trading of derivatives, commodities, securities, and other financial instruments.Generally, an exchange is accessible through a digital platform or sometimes at a tangible address where investors organize to perform trading. Among the chief responsibilities of an exchange would be to uphold honest and fair-trading practices. These are instrumental in making sure that the distribution of supported security rates on that exchange are effectiv Read this Term spread betting account and guaranteed investors at least 20% per annum, the perpetrator of the Ponzi Scheme Ponzi Scheme A Ponzi scheme is a scam that looks to lure investors, ultimately paying profits to earlier investors with funds from more later investors.This form of fraud tricks victims into believing that products are instead generated from product sales or other means. In actuality, most investors are completely oblivious to the actual origin of incoming funds.One of the central attributes of a Ponzi scheme is the necessity of its ongoing nature, which is dependent on a steady flow of new contributions and A Ponzi scheme is a scam that looks to lure investors, ultimately paying profits to earlier investors with funds from more later investors.This form of fraud tricks victims into believing that products are instead generated from product sales or other means. In actuality, most investors are completely oblivious to the actual origin of incoming funds.One of the central attributes of a Ponzi scheme is the necessity of its ongoing nature, which is dependent on a steady flow of new contributions and Read this Term lost over £1 million in trading.
The scheme has been running for over 10 years, as Boakes admitted to lying about the value of the funds his investors entrusted him with between October 2002 and January 2013. In addition, he and his family led a lavish lifestyle spending a total of £1.3 million throughout the years. Boakes spent £175,218 on cars and £213,659 on foreign holidays.
The range of losses incurred by individuals who invested in CurrencyTrader Ltd totaled between £10,000 and £700,000. The house of cards collapsed after the investors in the Ponzi scheme lost over £2.5 million.
The perpetrator admitted to being guilty on two counts of fraudulent trading, three counts of using false documentation and for not being authorized by the FCA to accept deposits.
His Honor Judge Lorraine-Smith said, “This was a classic Ponzi scheme over a number of years with a large number of victims. Lives have been changed and life savings have been lost. Boakes and his family lived a lavish lifestyle that he could not begin to afford but for his fraudulent activities.”
Boakes was sentenced to four years for the first count of fraudulent trading and six years for the second count to run consecutively.
After last summer, the U.K. Financial ConductAuthority charged Phillip Boakes on six counts, including theft and six counts of fraud. The Southwark Crown Court sentenced him to 10 years in prison after the perpetrator admitted guilt on a total of six counts.
Boakes defrauded over 30 investors out of more than £3.5 million, after soliciting them to invest with his company CurrencyTrader Ltd. While he claimed to be managing a foreign Exchange Exchange An exchange is known as a marketplace that supports the trading of derivatives, commodities, securities, and other financial instruments.Generally, an exchange is accessible through a digital platform or sometimes at a tangible address where investors organize to perform trading. Among the chief responsibilities of an exchange would be to uphold honest and fair-trading practices. These are instrumental in making sure that the distribution of supported security rates on that exchange are effectiv An exchange is known as a marketplace that supports the trading of derivatives, commodities, securities, and other financial instruments.Generally, an exchange is accessible through a digital platform or sometimes at a tangible address where investors organize to perform trading. Among the chief responsibilities of an exchange would be to uphold honest and fair-trading practices. These are instrumental in making sure that the distribution of supported security rates on that exchange are effectiv Read this Term spread betting account and guaranteed investors at least 20% per annum, the perpetrator of the Ponzi Scheme Ponzi Scheme A Ponzi scheme is a scam that looks to lure investors, ultimately paying profits to earlier investors with funds from more later investors.This form of fraud tricks victims into believing that products are instead generated from product sales or other means. In actuality, most investors are completely oblivious to the actual origin of incoming funds.One of the central attributes of a Ponzi scheme is the necessity of its ongoing nature, which is dependent on a steady flow of new contributions and A Ponzi scheme is a scam that looks to lure investors, ultimately paying profits to earlier investors with funds from more later investors.This form of fraud tricks victims into believing that products are instead generated from product sales or other means. In actuality, most investors are completely oblivious to the actual origin of incoming funds.One of the central attributes of a Ponzi scheme is the necessity of its ongoing nature, which is dependent on a steady flow of new contributions and Read this Term lost over £1 million in trading.
The scheme has been running for over 10 years, as Boakes admitted to lying about the value of the funds his investors entrusted him with between October 2002 and January 2013. In addition, he and his family led a lavish lifestyle spending a total of £1.3 million throughout the years. Boakes spent £175,218 on cars and £213,659 on foreign holidays.
The range of losses incurred by individuals who invested in CurrencyTrader Ltd totaled between £10,000 and £700,000. The house of cards collapsed after the investors in the Ponzi scheme lost over £2.5 million.
The perpetrator admitted to being guilty on two counts of fraudulent trading, three counts of using false documentation and for not being authorized by the FCA to accept deposits.
His Honor Judge Lorraine-Smith said, “This was a classic Ponzi scheme over a number of years with a large number of victims. Lives have been changed and life savings have been lost. Boakes and his family lived a lavish lifestyle that he could not begin to afford but for his fraudulent activities.”
Boakes was sentenced to four years for the first count of fraudulent trading and six years for the second count to run consecutively.