The New York Southern District Court has denied motion by EminiFX investors to intervene in the lawsuit brought by the Commodity Futures Trading Commission (CFTC).
Judge Valerie E. Caproni signed an order on February 14, 2024, siding with the CFTC as the regulator has opposed the attempt by a group of EminiFX investors to intervene in its lawsuit.
The Judge said that EminiFX Investors’ interests are adequately represented by the CFTC.
On May 11, 2022, the CFTC filed a lawsuit in this matter against Eddy Alexandre and his company, EminiFX, alleging in essence that Alexandre had run EminiFX as a Ponzi scheme. As part of the request for relief, the CFTC sought restitution to EminiFX participants. On that same date, the Court entered a statutory restraining order that, among other things, froze Defendants’ assets and appointed a Receiver to protect and maintain those assets.
The matter was stayed pending Alexandre’s criminal case, which resulted in a guilty plea and a sentence of 108 months’ incarceration and large restitution and forfeiture requirements. Subsequently, the CFTC and the Defendants have agreed in principle to resolve this matter in full, and the CFTC will submit a proposed consent order when it receives Commission approval.
