The U.S. District Court for the District of Massachusetts on Dec. 12, 2017, entered a final judgment against the former owner of now-defunct Boston Trading and Research LLC, related to a fraudulent foreign currency trading enterprise case.
The Securities and Exchange Commission in 2012 filed a civil injunctive action in federal court against Boston Trading and Research and its principals, Craig Karlis and Ahmet Devrim Akyil, alleging that the pair fraudulently raised millions of dollars from hundreds of investors in a foreign currency trading venture.
The commission also alleged that the defendants embezzled investor funds for business and personal expenses and lost the vast majority of remaining investor funds through foreign exchange trading activity. Additionally, the company provided investors with misleading account statements that did not accurately reflect the firm's trading activity, the regulator said.
Karlis consented to the entry of the final judgment without admitting or denying the SEC's findings. Pursuant to the order, Karlis will pay about $1.6 million in disgorgement and $549,376.92 in prejudgment interest, for a total of about $2.2 million. The order also bars Karlis from associating with any broker or dealer.
The SEC's case against Akyil is ongoing.
