My Forex Funds Accuse CFTC Of Improper Charges Following Company’s Closure
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My Forex Funds continues to be rocked in a regulatory battle with US regulators. The attorneys representing the firm have accused the Commodity Futures Trading Commission (CFTC) of mischaracterizing transfers to and from bank accounts owned by defendants before entering the statutory restraining order (SRO).
“The CFTC misrepresented that Traders Global transferred $31.55 million CAD to Mr. Kazmi when in reality Traders Global transferred that money to the Canadian tax authorities,” the attorneys said.
My Forex Funds Says CFTC Mischaracterized Its Tax Payments
My Forex Funds said the company’s bank records demonstrated two pre-authorized payments worth CAD 4.5 million and CAD 27 million. The US regulator flagged the two payments under the “TXINS and “TXBAL” bank codes showing tax payments to Canada.
The company has filed the lawsuit at the New Jersey Court in response to the claims made by the US CFTC. It also seeks changes to the SRO that ordered the company to shut down and halt operations.
The attorneys representing the company and Murtuza Kazmi have questioned the actions taken by the CFTC. The commodities regulator sued the company on August 29 and froze its assets. It also charged Kazmi with fraud.
Since the lawsuit, Anthony Sodono II, Esq, was appointed as a temporary receiver at the company. My Forex Funds refuted the charges imposed by the CFTC and claimed it never defrauded its traders.
My Forex Funds Questions The Company’s Closure
The latest motion filed by My Forex Funds questioned the STO that led to the suspension of the company’s operations. The motion claimed that none of the courts across the US imposed an order to shut down the business of freeze assets. The lawyers also claim there was no order to freeze the principal’s personal assets.
The CFTC said that My Forex Funds generated over $310 million in fees from prop trading operations. The company also boasts over 135,000 new customers since November 2021, indicating that it achieved significant growth over the years.
The attorneys also claim that the CFTC secured the court order in secret to shut down the entire business and freeze company and personal assets before filing an official complaint. The motion has also questioned the constitutional rights that the CFTC had to order the closure of the business.
