CFTC ACTION: Zurich Futures and Options Inc.

The CFTC obtained more than $5.4 million in restitution and civil monetary penalties in a federal court default judgment order against Zurich Futures and Options Inc., a Belize-registered corporation, and Michele LaBruce, both of Hollywood, Fla. The order also permanently prohibits Zurich and LaBruce from engaging in certain commodity-related activity, including registering with the CFTC in any capacity and trading.
The order finds that defendants falsely claimed that Zurich was a member of the NFA and registered with the CFTC. The court also found that, through the Zurich website, solicitation materials, and the activities of their brokers, the defendants created a false impression that Zurich was a successful, well-established international investment banker with an experienced investment team and offices in Zurich, Switzerland and Toronto, Canada. In fact, Zurich was nothing more than a Hollywood, Fla.-based sham operation that maintained only “virtual offices” or “mail drop” offices in Zurich and Toronto through which the defendants re-routed customer calls and funneled mailings of solicitation materials and account opening documents.

About The Author

Felix Shipkevich

Felix Shipkevich is a Manhattan-based attorney and general counsel for Shipkevich Law Firm. He has extensive experience working with the CFTC and NFA on registration, compliance, and enforcement issues for CPOs, CTAs, FCMs, IBs, and RFEDs. Felix also practices intellectual property and corporate governance law.