A former New York based Forex trader was sentenced to 15 years in prison after being found guilty of bilking investors of over $66 million.
Michael MacCaull, 38, and his co-defendant, Bradley Eisner, forfeited more than $28 million in currency and property as part of their 2008 guilty pleas.
The pair launched a Spot Forex trading company in 2001, called Razor FX. They proceeded to attract investment from the public with the advertised purpose of investing it on their behalf.
However, the two operated a Ponzi scheme, and used the money obtained from investors to live the “good life”.
The office of the U.S. Attorney in Brooklyn stated that Razor FX conducted “almost no trading in the forex market. Instead, the defendants simply deposited the investments in a bank account from which they paid their personal living expenses, including luxury homes and automobiles.”
As you can see from this story, Forex is not without its share of crooks, scammers, and frauds. You need to make sure that any investment you make is with reputable firms and companies that can be trusted to work on your behalf.
