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CFTC pressed charges against Circle Society for misappropriation of $11 million worth BTC – Crypto Scam News

CFTC, the US Commodity Futures Trading Commission has filed a lawsuit against Nevada-based Circle Society for misappropriatin
CFTC, the US Commodity Futures Trading Commission has filed a lawsuit against Nevada-based Circle Society for misappropriating $11 million worth of BTC.

The United States Commodity Futures Trading Commission (CFTC) has announced the filing of a lawsuit against the Nevada-based Circle Society. The society and its owner, David Gilbert Saffron, are charged for misappropriating $11 million worth Bitcoin and US dollars from the citizens of the United States to “trade off-exchange binary options on foreign currencies and cryptocurrency pairs, among other things,” as cited in the declaration.

Heath P. Tarbert, the chairman of CFTC, said, “Digital assets and other 21st century commodities hold great promise for our economy. Fraudulent schemes, like that alleged in this case, not only cheat innocent people out of their hard-earned money, but they threaten to undermine the responsible development of these new and innovative markets.”

The defendants are said to have victimized 14 people into participating in a pool commanded by the Circle society. Reportedly, it was a fraudulent entity originated by David G. Saffron, which assured people a return of up to 300%. Saffron is accused of holding the participants’ funds in his personal crypto wallet and using them to pay the new members, conducting a Ponzi scheme.

The CFTC is geared up to seek restitution, civil monetary penalties, rescission, trading bans, and more.

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