Currency Schemes and Forex Fraud

Posted by Chris Morales on Tue, Sep 13, 2011 @ 08:00 AM

describe the imageCurrency trading is a highly speculative, fast-paced high-risk investment strategy.  International currency markets operate 24 hours a day with a high volume of trading. Foreign exchange (Forex) market trading is also one of the financial activities that federal regulators scrutinize most closely for instances of fraud and illegal diversion of investors’ funds. 

The Forex arena is volatile and creates big winners and losers. Brokers, advisers, and other players in this arena may be more susceptible than most financial professionals to accusations of criminal conspiracy, fraud, and other business crimes. If you do find yourself under investigation or facing charges of Forex or currency fraud, it is urgent that you contact an experienced San Francisco white collar criminal lawyer right away.

Many of the Forex fraud cases that have emerged in recent years have come from the “retail Forex” sector involving independent brokers unaffiliated with major financial institutions. Retail Forex operations should be structured with especially high transparency as they are most likely to be the target of wrongdoing accusations in cases where their clients gamble excessively and suffer big losses on the currency markets.  Here, too, a San Francisco white collar criminal lawyer can be a valuable resource for brokers seeking to avoid even the appearance of engaging in questionable activity.

The United States Commodity Futures Trading Commission (CFTC) and the National Futures Association are the two primary regulatory bodies in this country that oversee Forex trading. Other countries have their own agencies, as well, but there is no cross-border authority either establishing or enforcing consistent international currency exchange rules.

In this “wild west” financial setting, let a San Francisco white collar criminal lawyer who understands how the Forex markets work and can identify the red flags that can attract regulators’ attention help you steer a sound legal course. Contact Christopher Morales today for a consultation.

Tags: fraud, white collar crime, San Francisco Criminal Attorney, San Francisco Criminal Lawyer