Two traders and their firm fraudulently solicited around $1 million from approximately 33 individuals to participate in a commodity pool to trade futures contracts, the Commodity Futures Trading Commission said.
The defendants—Brian Mitchell, Kevin Mack Jr., and Young Pros Investment Group LLC—violated anti-fraud provisions of the Commodity Exchange Act by making material misrepresentations about Mitchell’s trading abilities, guaranteeing positive monthly returns, and failing to disclose risks of trading futures, the CFTC said in a complaint filed Friday in the US District Court for the Eastern District of Michigan.
The CFTC also alleged the defendants operated a Ponzi scheme by using ...