The CFTC announced today that it has filed charges against Angel F. Collazo of Puerto Rico and his company, ACJ Capital, for off-exchange leveraged foreign exchange (forex) contracts fraud. Collazo is accused of fraudulently soliciting upwards of $1.7 million from 18 individuals, and then issuing false statements to conceal his losses. The court has also frozen the defendant’s assets and prohibited the destruction of his records.

The CFTC complaint alleges that Collazo solicited funds for ACJ by claiming the company was a seasoned, profitable firm, and did not disclose the risks of leveraged forex trading. He also willfully deceived customers, convincing them that their investments were performing well by sending them false paper statements and assuring them that the losses shown in their online statements were the result of a technological error.

The CFTC is seeking restitution for the defrauded customers, disgorgement of ill-gotten gains, civil monetary penalties, and trading and registration bans.

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