CFTC sues Florida crypto firm and CEO over $397 million fraud

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CFTC sues Florida crypto firm and CEO over $397 million fraud
Crypto

Bitcoin Magazine

The Commodity Futures Trading Commission sued Goliath Ventures Inc. and CEO Christopher Delgado, alleging a Ponzi scheme that took at least $397 million from about 1,600 customers. The complaint says customer funds promised for bitcoin and other crypto trading were misappropriated, used to pay fictitious profits to earlier investors and to bankroll Delgado's lavish lifestyle, while account statements showed gains that did not exist. Delgado pleaded guilty in June in a parallel federal criminal case, and the Securities and Exchange Commission filed a separate civil action the same day. The CFTC seeks restitution, disgorgement, penalties, trading and registration bans, and a permanent injunction, though recovery may be limited.

A $397 million alleged crypto Ponzi targeted about 1,600 customers.

Context

The CFTC filed a civil complaint after criminal charges were brought. Delgado pleaded guilty in June in a parallel federal case. The SEC also filed a civil action on the same day.

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