My Forex Funds assert that the accusations are greatly inaccurate in their first Legal Statement. Quinn Emanuel, led by Alex Spiro and his team, has been retained to represent My Forex Funds in response to the CFTC’s allegations. My Forex Funds has exclusively shared its first official statement regarding the lawsuit. They described the allegations as a highly inaccurate and incomplete portrayal of the facts.
Serious accusations were made against My Forex Funds by the Commodity Futures Trading Commission (CFTC). The lawsuit has identified two entities. This includes Traders Global Group Inc., incorporated in New Jersey, and Traders Global Group Inc., based in Canada. They operate under the name My Forex Funds, along with its CEO, Murtuza Kazmi. The CFTC has also secured a restraining order and frozen the assets of these companies.
My Forex Funds First Legal Statement- False Accusations
My Forex Funds stated exclusively, “To clarify, My Forex Funds has never engaged in defrauding its traders, and we eagerly anticipate presenting the truth in a court of law. We deeply regret the difficulties that this ill-conceived lawsuit has imposed on our traders and staff.”
In addition to the CFTC’s legal action, My Forex Funds is facing repercussions in Canada. The Ontario Securities Commission (OSC) has initiated similar proceedings against them. My Forex Funds emphasized that the CFTC’s lawsuit came as a surprise and was filed under seal. Both companies associated with the proprietary trading platform are resolute in their determination to contest the allegations brought forth by the two regulatory bodies.
Regarding the CFTC lawsuit, the company has enlisted legal defense services. This includes Alex Spiro, Rob Zink, Michael Shaheen, and Dakota Speas from Quinn Emanuel Urquhart & Sullivan, LLP, as stated in their comment. In Canada, as well, the platform has sought legal representation.
Background of the Lawsuit
My Forex Funds, which was once highly successful, has been temporarily disrupted. Established in 2020, it rapidly gained popularity. Similar to other proprietary trading platforms, My Forex Funds generated revenue by collecting fees from traders who participated in its challenges. The company subsequently provided capital to successful traders and shared any realized profits from trading with them.
According to the CFTC, My Forex Funds collected a minimum of $310 million in fees from over 135,000 customers who enrolled in its trading program since November 2021. Additionally, the regulator’s allegations involve fraud and the misappropriation of funds by the CEO.
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