Tom Arran Tom Arran, Tuesday 14th January 2020, 3:43 PM CET
Blue Guru

Blue Guru Fined $2.5 Million

The Blue Guru Limited Liability Company has been penalized $2.5 million. This announcement came from the United States Commodity Futures Trading Commission, which noted they’d come to judgement earlier this week. An order demanding that the defendants pay an immediate $1.76 million for civil fines was met with an $838,642.00 disgorge on Ill-Gotten Gains. Blue Guru LLC acquired a permanent registration and trading ban from the CFTC. Once all penalty fines are paid, this financial institution will shutdown.

These penalties and fines came after Blue Guru was found operating a fraudulent scheme, which lasted for more than four years. Numerous charges were laid out by the CFTC, including False Representations of Profits. It’s estimated that executives with this exchange solicited $1.75 million from clients annually, leading them into a falsified scheme regarding high-frequency commodities. Traders were informed that commodity funds with be traded with the Straits Financial Firm. Instead, Fabricated statements were provided to clients. Throughout their operational period, more than $6.1 million was stolen. This prompted an influx of charges, with executives facing lengthy prison sentences.

Falsified Reports

When the CFTC first approached the Blue Guru firm, their immediate response was that investor funds weren’t held over $9,000.00. However, this went against direct advertisements sent to United States Investors. False claims regarding their operations continued to clients, as they were told that investments would receive 8% profits annually. This number magically jumped to 50% annual profits with client acquisition numbers dropped. The company concealed its actions with documents that were falsified or destroyed. It’s estimated that the clients that weren’t scammed still received a collective $250,000.00 in losses.

Their legal judgment follows after twenty-four months of court engagement, with the CFTC first receiving these complaints in January 2018. Executives with this exchange were subjected to a restitution fine of $7.0 million as well.

Tom Arran

Author: Tom Arran

Tom has over 10 years experience on crypto currencies, first mining bitcoin on an old university computer for 20 cents a coin to now day trading bitcoin in between helping to start whichbroker.com. Tom has previously held roles at a leading EU brokerage and provided insight and consultancy work for number of UK banks in Crypto. Tom Arran can be contacted at [email protected], View all posts by Tom Arran

Featured Brokers

  • EagleFX

    Open EagleFX Account

    Read EagleFX Review

    CFDs are complex instruments and come with a high risk of losing money rapidly due to leverage. 75% of retail investor accounts lose money when trading CFDs with this provider. You should consider whether you understand how CFDs work and whether you can afford to take the high risk of losing your money.

  • FXPesa Review

    Open FXPesa Account

    Read FXPesa Review

    CFDs are complex instruments and come with a high risk of losing money rapidly due to leverage. 75% of retail investor accounts lose money when trading CFDs with this provider. You should consider whether you understand how CFDs work and whether you can afford to take the high risk of losing your money.

  • Pepperstone, TrioMarkets, Nano Bitgrail

    Open Tiomarkets Account

    Read Tiomarkets Review

    CFDs are complex instruments and come with a high risk of losing money rapidly due to leverage. 75% of retail investor accounts lose money when trading CFDs with this provider. You should consider whether you understand how CFDs work and whether you can afford to take the high risk of losing your money.

More From Author