More on Forex Fraud from the CFTC
Below is another notice from the CFTC on fraud in the off-exchange foreign currency markets. Please also see their other fraud advisory[[[[[[. The notice below, can also be found here. [[[[
****
Fraud Advisory from the CFTC: Foreign Currency Trading (Forex) Fraud
Know How to Spot Forex Fraud
The CFTC has witnessed a sharp rise in foreign currency trading [...]
Retail Off-Exchange Foreign Currency Trading: CFTC Advisory (2007)
U.S. COMMODITY FUTURES TRADING COMMISSION
Division of Clearing and Intermediary Oversight
August 30, 2007
DIVISION OF CLEARING AND INTERMEDIARY OVERSIGHT ADVISORY CONCERNING RETAIL OFF-EXCHANGE FOREIGN CURRENCY TRADING
In December 2000, the Commodity Futures Modernization Act (“CFMA”)[1] was enacted into law. The CFMA amended the Commodity Exchange Act (“Act”)[2] to clarify the jurisdiction of the Commodity Futures Trading Commission (“Commission”) [...]
CFTC v. Zelener
The case below is the case which got Congress to authorize forex registration requirement. Please feel free to contact us if you have any questions on the case below or if you need help with forex registration.
NFA Discusses Future Forex Rules and Forex Registration
The press release below from the NFA discusses the coming registration requirements for those forex managers which engage in advising clients on off-exchange foreign exchange transactions. It is expected that registration will be required very shortly and managers, including forex hedge fund managers, will need to be registered as a “Forex CPO.” These managers will [...]
Section 988
§ 988. Treatment of certain foreign currency transactions
(a) General rule
Notwithstanding any other provision of this chapter—
(1) Treatment as ordinary income or loss
(A) In general
Except as otherwise provided in this section, any foreign currency gain or loss attributable to a section 988 transaction shall be computed separately and treated as ordinary income or loss (as the [...]
FCM Forex Liquidity Sued by CFTC
Release: 5426-07
For Release: December 19, 2007
CFTC Sues Futures Commission Merchant Forex Liquidity LLC Alleging Undercapitalization in Excess of $11.6 Million
Washington, DC – The U.S. Commodity Futures Trading Commission (CFTC) announced today that on December 13, 2007, it sued Forex Liquidity LLC (Forex Liquidity), a registered Futures Commission Merchant (FCM) in Santa Ana, California, charging it [...]
google71d0902a34491e1a.html
Regulators Join Forces to Warn Public of Foreign Currency Trading Frauds
Release: 5332-07
For Release: May 7, 2007
Regulators Join Forces to Warn Public of Foreign Currency Trading Frauds
Washington, D.C. — The Commodity Futures Trading Commission (CFTC) and the North American Securities Administrators Association (NASAA) today issued a joint investor alert to warn of the dangers facing retail investors who are lured into foreign currency (forex) trading frauds.
The [...]