CEO of a cryptocurrency and forex trading platform charged with a fraudulent scheme involving more than $59 million | USAO-SDNY

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Damian Williams, United States Attorney for the Southern District of New York, and Michael J. Driscoll, Deputy Director in Charge of the New York Field Office of the Federal Bureau of Investigation, today announced the unsealing of a complaint in Manhattan. the court charges EDDY ALEXANDRE, the head of an alleged cryptocurrency and forex trading platform called EminiFX, with commodity fraud and wire fraud. As alleged, ALEXANDRE solicited over $59 million in investments from hundreds of individual investors after making false claims in connection with the EminiFX trading platform. ALEXANDRE was arrested this morning and will appear before Magistrate Judge Katharine H. Parker of the United States District Court for the Southern District of New York later today.

US Attorney Damian Williams said: “Eddy Alexandre allegedly tricked his clients into investing over $59 million with promises of huge passive income through his own trading platform called EminiFx. In reality, such technology didn’t exist. not, because Alexander would have invested very little of their money – most of which he lost – and would have transferred most of it to his own personal accounts to pay for luxury items himself. Foreign exchange markets offer the potential for high returns, but investors should beware of the downside risks of misrepresentation and get-rich-quick schemes that are often too good to be true.

FBI Deputy Director-in-Charge Michael J. Driscoll said: “As alleged, Mr. Alexander solicited millions of dollars from unwitting investors whom he ‘guaranteed’ weekly returns of 5% through his platform. trading using new technology that he refused to disclose. . Like many greedy actors who came before him, he then used a significant portion of the funds from the investors he solicited to buy himself expensive luxuries. Today’s action further demonstrates the FBI’s commitment to prosecuting fraudsters like Mr. Alexander and ensuring they face the consequences of their actions in the federal criminal justice system.

As alleged in the complaint unsealed today in Manhattan federal court[1]:

From or about September 2021, until or about May 2022, ALEXANDRE operated EminiFX, Inc. (“EminiFX”), a purported investment platform that ALEXANDRE founded and for which he solicited more than $59 million in investments from hundreds of individual investors. ALEXANDRE marketed EminiFX as an investment platform through which investors would earn passive income through automated investments in cryptocurrency and foreign exchange (“FOREX”) trading. ALEXANDRE offered his investors “guaranteed” high returns on investment using a new technology that he claimed was secret. Specifically, ALEXANDRE falsely represented to investors that they would double their money within five months of investing by earning a 5% weekly return on their investment by using a “robo-advisor assisted account” to trade. ALEXANDRE called this technology a “trade secret” and refused to tell investors what technology it was. Every week, the EminiFX website falsely represented to investors that they had earned at least 5% on their investment, which they could withdraw or reinvest.

In truth and in fact, and as ALEXANDRE well knew, EminiFX did not earn 5% weekly returns for its investors. ALEXANDRE didn’t even invest the vast majority of the investor funds entrusted to him, and ALEXANDRE suffered over $6 million in losses on the limited portion of the funds he invested, which he didn’t has not disclosed to its investors. Instead of using the investors’ funds as he promised, ALEXANDRE embezzled at least about $14,700,000 into his personal bank account and left the vast majority of the investors’ funds uninvested. For example, ALEXANDRE used $155,000 of investor funds to purchase a BMW car for himself and spent an additional $13,000 of investor funds on car payments, including to Mercedes Benz.

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ALEXANDRE, 50, of Valley Stream, New York, is charged with one count of commodities fraud, which carries a maximum sentence of 10 years in prison, and one count of fraud electronic mail, punishable by up to 20 years in prison.

The maximum potential penalties are prescribed by Congress and are provided here for informational purposes only, as any sentencing of the defendant will be determined by a judge.

Mr. Williams praised the investigative work of the Federal Bureau of Investigation and also thanked the Commodity Futures Trading Commission for its assistance.

This matter is being handled by the Bureau’s Securities and Commodities Fraud Task Force. Assistant United States Attorneys Nicholas Folly and Jared Lenow are in charge of the prosecutions.


[1] As the introductory sentence indicates, the entire text of the complaint and the description of the complaint set forth herein are allegations only, and each fact described should be treated as an allegation.

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