Former NYSE broker agrees to pay $54M to resolve CFTC cryptocurrency fraud charges.
According to a notice from the U.S. commodities watchdog, a former New York Stock Exchange (NYSE) broker has been ordered to pay $54 million in damages and penalties by a federal court for operating a fraudulent crypto trading scheme.
The Commodity Futures Trading Commission (CFTC) stated that Michael Ackerman, an Ohio resident, has been banned by a judge at the Southern District of New York court from trading in any markets supervised by the watchdog. Ackerman was charged in 2020 with defrauding approximately 150 investors and raising $33 million by promising “extraordinary profits.”
Although Ackerman initially pleaded not guilty to running the scheme, he changed his plea in September 2021.
The regulator announced that the final order, signed on June 13, closes the CFTC enforcement case against Ackerman.
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“It also requires him to pay $27 million in restitution to defrauded victims and a $27 million civil monetary penalty in connection with a fraudulent digital asset trading scheme,” the notice said.
Read more: Ex-NYSE Broker Pleads Guilty to Orchestrating $33M Crypto Scam
Edited by Sheldon Reback.
