In a significant legal victory for financial regulators, the U.S. Commodity Futures Trading Commission (CFTC) has secured a $36 million judgment against William Koo Ichioka, a New York-based scammer involved in a fraudulent crypto and forex scheme.
A federal judge ruled that Ichioka must pay $31 million in restitution to the victims of his scam, compensating those defrauded by his deceptive practices. In addition, a civil penalty of $5 million was imposed on Ichioka, bringing the total amount he is liable for to over $36 million.
The court’s order also permanently bars Ichioka from trading in any markets regulated by the CFTC and prohibits him from registering with the commission, effectively shutting him out of the trading industry.
The CFTC’s September 20 announcement highlights its ongoing commitment to protecting investors from fraud, especially in the rapidly growing and often unregulated cryptocurrency and forex sectors.
This judgment serves as a warning to others involved in fraudulent activities that they will be held accountable and face significant penalties, including financial restitution to victims and bans from trading.