简体中文
繁體中文
English
Pусский
日本語
ภาษาไทย
Tiếng Việt
Bahasa Indonesia
Español
हिन्दी
Filippiiniläinen
Français
Deutsch
Português
Türkçe
한국어
العربية
Abstract:A British foreign exchange company executive has been found guilty in a London court for his involvement in a £70 million Ponzi-style fraud scheme, wherein he misused investors' funds to fund a lavish lifestyle, leading to his conviction on charges of fraud, fraudulent trading, and money laundering.
In a court in London, a British foreign exchange company executive has been found guilty of participating in a Ponzi-style fraud scheme worth £70 million, in which he misappropriated investors' funds to support a luxurious lifestyle. The Crown Prosecution Services (CPS) revealed that the defendant, Constantinou, was convicted of fraud by false representation, fraudulent trading, and money laundering after he fled during the trial. The case involved Constantinou operating several investment schemes, including Capital World Markets (CWM) and CW Markets, between late 2013 and March 2015.
The prosecutor provided further details on the fraudulent scheme, explaining that Constantinou lured investors into the “Managed Accounts” program, promising them substantial returns on investment of 5% or 60% per annum through risk-free transactions in the foreign exchange (FX) markets. To participate, investors were required to contribute a minimum of £50,000 with the promise of receiving £100,000 in return. The scheme claimed to have access to preferential prices in forex trading, enabling such high returns. However, these claims were proven to be false.
According to the CPS, investigations revealed that CWM did not invest the investors' funds in the forex markets as claimed. Instead, the funds were used to pay returns to earlier investors, while the rest of the money was spent by Constantinou. It was discovered that he had utilized CWM's funds for personal expenses, including purchasing luxury cars, renting a mansion, private flights, lavish parties, and even spending £2.5 million on his wedding in Santorini, Greece. Additionally, Constantinou used a portion of the funds to maintain the reputation of CWM through sponsorship deals, aiming to attract more investments.
Constantinou had complete control over Capital World Markets and its affiliated entities, including their bank accounts. Through these entities, millions of pounds were transferred to him. As part of the investigation, authorities seized high-end vehicles, including a Range Rover and Ferrari, purchased by Constantinou.
The fraudulent activities of CWM came to light in March 2015 when the company was raided by the police, leading to the exposure of the scheme. Detective Inspector Nichola Meghji of the City of London Police described the investigation as lengthy and complex. Meghji characterized Constantinou as a career criminal motivated solely by personal gain, disregarding the well-being of others. Despite the evidence against him, Constantinou attempted to deceive the police and maintained his innocence throughout the investigation.
Due to Constantinou's decision to stop attending his trial, Judge Gregory Perrins announced that he would sentence him in absentia on June 9th, emphasizing the seriousness of his crimes and the impact on the victims.
Disclaimer:
The views in this article only represent the author's personal views, and do not constitute investment advice on this platform. This platform does not guarantee the accuracy, completeness and timeliness of the information in the article, and will not be liable for any loss caused by the use of or reliance on the information in the article.
Webull Financial, alongside Lightspeed Financial Services Group and Paulson Investment Company, LLC, has agreed to pay a collective fine of $275,000 following an investigation by the US Securities and Exchange Commission (SEC). The penalty was issued due to the firms’ failure to include essential information in suspicious activity reports (SARs) over a four-year period.
Barclays has reached a settlement with the UK’s Financial Conduct Authority (FCA), agreeing to pay a £40 million fine for failing to adequately disclose arrangements with Qatari investors during its critical fundraising efforts amidst the 2008 financial crisis.
The UK FCA imposes a £40 million fine on Barclays for failing to disclose critical information about its 2008 capital raising with Qatari entities.
In the midst of rapid advancements and evolving landscapes in financial technology, financial regulation, and ensuring financial security, WikiGlobal stands at the forefront, closely tracking these transformative trends. As we embark on our series of exclusive interviews focusing on these pivotal areas, we are delighted to have had an in-depth conversation with.