The Securities
and Alternate Fee (SEC) has filed prices towards a Florida resident, Sanjay
Singh and his logistics agency, Royal Bengal Logistics Inc. The accused is
charged with fraudulently elevating an estimated $112 million from practically 1,500
traders in an unregistered securities providing and operating a international change
(FX) rip-off.
Singh is
accused of embezzling not less than $14 million and transferring $19 million to 2
separate brokerage accounts. Regardless of promising traders very excessive returns, he
misplaced greater than $1 million of their cash. This loss was because of Singh’s involvement
in dangerous and speculative inventory margin buying and selling.
SEC Expenses Florida Resident
for Working $112m Foreign exchange Rip-off
The SEC’s
grievance particulars that from 2019 by means of 2023, Singh, through Royal Bengal
Logistics Inc., supplied high-yield funding applications that reportedly promised
returns starting from %12.5 to 325%. Singh and Royal Bengal allegedly assured
traders that their funds can be used for enterprise growth and enhancing
their fleet of semi-trucks and trailers. The defendants claimed that their
funding plans had been protected and that Royal Bengal was incomes as much as $1 million
in income per thirty days.
Nonetheless,
opposite to those claims, the SEC asserts that Royal Bengal was working at a
loss, and about $70 million of contemporary investor funds had been used for Ponzi-like
funds to different traders. Singh is additional accused of misappropriating at
least $14 million of investor funds for private use.
“As
alleged in our grievance, Singh focused many members of the Haitian-American
group to boost cash in a Ponzi-like scheme to counterpoint himself,” Eric
I. Bustillo, the Director of the Miami Regional Workplace of SEC, commented.
“We’re dedicated to holding accountable people like Singh who prey
on traders by means of lies and deceit.”
We introduced prices towards Florida resident Sanjay Singh & his trucking & logistics firm, w/ fraudulently elevating about $112M from as many as 1,500 traders by means of an unregistered securities providing that primarily focused Haitian-People.https://t.co/TCRN6xQ0sc
— U.S. Securities and Alternate Fee (@SECGov) June 26, 2023
Authorized Penalties and
Preventive Measures
The
Southern District of Florida’s US District Courtroom has accused Singh and Royal
Bengal of breaking federal securities legal guidelines, particularly guidelines round
registration and stopping fraud. Sheetal Singh, Sanjay Singh’s spouse, and
Constantina Celicourt, the spouse of the Vice President of Enterprise Improvement
at Royal Bengal Logistics, are additionally concerned within the case as aid defendants.
Following
an pressing request from the SEC, the District Courtroom has accredited preliminary
measures. These embrace stopping additional unlawful actions (injunctive
aid), freezing belongings, and an order that forestalls the destruction of
related paperwork.
The SEC is pursuing further enforcement actions. This might result in Singh being
barred from serving as an officer or a director, everlasting injunctions, civil
monetary penalties, and the return of unlawfully obtained cash with added
curiosity.
Ponzi Schemes Are the SEC’s
Bread and Butter
Monetary
pyramids and Ponzi schemes are among the many commonest types of fraud within the
United States, usually resulting in important income for scammers however much more appreciable
losses for deceived traders. As a result of prevalence of those schemes, the SEC
stays extremely lively in monitoring them down, imposing multi-million greenback
penalties on their creators.
A number of
months in the past, the SEC shut down BKCoin for working a scheme resembling a Ponzi
construction. This crypto hedge fund based mostly in Miami swindled not less than 55 traders
after accumulating $100 million. Earlier, the US Commodity Futures Buying and selling
Fee (CFTC), a counterpart to the SEC, introduced prices towards 5
people and three related firms for 3 foreign currency trading Ponzi
schemes amounting to $145 million.
In
February, US authorities accused 4 co-founders of one other cryptocurrency
Ponzi scheme , Forsage. This scheme collected round $340 million by means of its
decentralized finance (DeFi) funding platform. The founders had been indicted
for conspiracy to commit wire fraud, a criminal offense that carries a most jail
sentence of 20 years.
Foreign exchange
market monetary pyramids are additionally an issue in different jurisdictions. On the
similar time, the Australian Securities and Alternate Fee (ASIC) introduced
that David Sipina, a former director of Courtenay Home, was criminally charged
in relation to a $180 million foreign exchange Ponzi scheme. The harshest punishment he
might obtain for his actions is a ten-year jail sentence and a superb of
$810,000.
The Securities
and Alternate Fee (SEC) has filed prices towards a Florida resident, Sanjay
Singh and his logistics agency, Royal Bengal Logistics Inc. The accused is
charged with fraudulently elevating an estimated $112 million from practically 1,500
traders in an unregistered securities providing and operating a international change
(FX) rip-off.
Singh is
accused of embezzling not less than $14 million and transferring $19 million to 2
separate brokerage accounts. Regardless of promising traders very excessive returns, he
misplaced greater than $1 million of their cash. This loss was because of Singh’s involvement
in dangerous and speculative inventory margin buying and selling.
SEC Expenses Florida Resident
for Working $112m Foreign exchange Rip-off
The SEC’s
grievance particulars that from 2019 by means of 2023, Singh, through Royal Bengal
Logistics Inc., supplied high-yield funding applications that reportedly promised
returns starting from %12.5 to 325%. Singh and Royal Bengal allegedly assured
traders that their funds can be used for enterprise growth and enhancing
their fleet of semi-trucks and trailers. The defendants claimed that their
funding plans had been protected and that Royal Bengal was incomes as much as $1 million
in income per thirty days.
Nonetheless,
opposite to those claims, the SEC asserts that Royal Bengal was working at a
loss, and about $70 million of contemporary investor funds had been used for Ponzi-like
funds to different traders. Singh is additional accused of misappropriating at
least $14 million of investor funds for private use.
“As
alleged in our grievance, Singh focused many members of the Haitian-American
group to boost cash in a Ponzi-like scheme to counterpoint himself,” Eric
I. Bustillo, the Director of the Miami Regional Workplace of SEC, commented.
“We’re dedicated to holding accountable people like Singh who prey
on traders by means of lies and deceit.”
We introduced prices towards Florida resident Sanjay Singh & his trucking & logistics firm, w/ fraudulently elevating about $112M from as many as 1,500 traders by means of an unregistered securities providing that primarily focused Haitian-People.https://t.co/TCRN6xQ0sc
— U.S. Securities and Alternate Fee (@SECGov) June 26, 2023
Authorized Penalties and
Preventive Measures
The
Southern District of Florida’s US District Courtroom has accused Singh and Royal
Bengal of breaking federal securities legal guidelines, particularly guidelines round
registration and stopping fraud. Sheetal Singh, Sanjay Singh’s spouse, and
Constantina Celicourt, the spouse of the Vice President of Enterprise Improvement
at Royal Bengal Logistics, are additionally concerned within the case as aid defendants.
Following
an pressing request from the SEC, the District Courtroom has accredited preliminary
measures. These embrace stopping additional unlawful actions (injunctive
aid), freezing belongings, and an order that forestalls the destruction of
related paperwork.
The SEC is pursuing further enforcement actions. This might result in Singh being
barred from serving as an officer or a director, everlasting injunctions, civil
monetary penalties, and the return of unlawfully obtained cash with added
curiosity.
Ponzi Schemes Are the SEC’s
Bread and Butter
Monetary
pyramids and Ponzi schemes are among the many commonest types of fraud within the
United States, usually resulting in important income for scammers however much more appreciable
losses for deceived traders. As a result of prevalence of those schemes, the SEC
stays extremely lively in monitoring them down, imposing multi-million greenback
penalties on their creators.
A number of
months in the past, the SEC shut down BKCoin for working a scheme resembling a Ponzi
construction. This crypto hedge fund based mostly in Miami swindled not less than 55 traders
after accumulating $100 million. Earlier, the US Commodity Futures Buying and selling
Fee (CFTC), a counterpart to the SEC, introduced prices towards 5
people and three related firms for 3 foreign currency trading Ponzi
schemes amounting to $145 million.
In
February, US authorities accused 4 co-founders of one other cryptocurrency
Ponzi scheme , Forsage. This scheme collected round $340 million by means of its
decentralized finance (DeFi) funding platform. The founders had been indicted
for conspiracy to commit wire fraud, a criminal offense that carries a most jail
sentence of 20 years.
Foreign exchange
market monetary pyramids are additionally an issue in different jurisdictions. On the
similar time, the Australian Securities and Alternate Fee (ASIC) introduced
that David Sipina, a former director of Courtenay Home, was criminally charged
in relation to a $180 million foreign exchange Ponzi scheme. The harshest punishment he
might obtain for his actions is a ten-year jail sentence and a superb of
$810,000.
