Commodities fraud is the illegal attempt to get money in connection to traded exchanges and the future delivery of assets. This type of offenses also includes traded assets, organized exchanges, and even foreign currencies. While anyone can commit commodities offenses, the people often investigated for these crimes include investment brokers, business executives, and corporate executives. These are people suspected of misrepresenting products, conducting insider trading and falsifying accounting data. Commodities fraud investigations are led by the Commodity Futures Trading Commission (CFTC). CFTC works closely with foreign, state and federal governments to curb illegal trading and to ensure compliance.
When facing a CFTC investigation, it is important to note that they have the manpower and the resources to carry out thorough investigations. In light of this, you must arm yourself with the best legal defense. The investigation focuses on several activities such as: reviewing transactions, conducting audits on company records, assessing personal assets, reviewing contracts to ascertain whether they were falsified and reviewing bank accounts. Upon investigation, you will be required to provide explanations as to any inconsistencies, unusual activity and undocumented sources of income.
Has the CFTC Subpoenaed You?
If the CFTC subpoenas you, you should not ignore it. To protect yourself, you need to consult with commodities offenses lawyer immediately. Do not try to explain yourself to the CFTC without a lawyer present. Anything you say can be used against you. A lawyer will ensure that your rights are protected and will assess your case to determine its merits. Commodities laws are complex in nature. This is why you need to consult with a legal expert who has handled these cases before.
Penalties For Commodities Offenses
An investigation and conviction can lead to hefty fines. The charge can also be aggravated to a criminal investigation and a myriad of civil actions. These actions carry stiff penalties. If you operate a business or an organization, your operations can be curtailed until the investigations are over. If you have a lawyer, they can argue against stalling of your business, or they can request that the matter is dealt with quickly to prevent losses. It is important to note that you can lose the license to trade if you face severe charges.
When these investigations are going on, personal assets are also brought into question. In some cases, the defendant’s assets can be frozen. This means that your business and personal finances are affected. Sadly, many people find out too late that their assets can be frozen. An experienced lawyer will give you all the possible outcomes based on the circumstances of your case. This will help keep you in the know, and you can take contingency measures to protect yourself during the period of the investigations. If you are found guilty of commodities offenses, the frozen assets can be used to pay for part of the fines. A prison sentence is also not unusual for convicted defendants.
Get an Experienced Commodities Fraud Lawyer
In addition to the steep fines and prison sentences, this type of white collar crimes have other far-reaching consequences. Professionals stand to lose their qualifications and credentials. If convicted, you may not be allowed to serve as a senior officer or a director of a company. You are also subject to disciplinary review from various licensing boards. There is so much at stake when it comes to commodities fraud cases. For some people, it could mean the end of their career.
If you are charged with commodities offenses, do not leave anything to chance. The consequences for doing this are dire. Commodities cases are also very complex, and several laws are applied. These laws can be on a federal or state level. In some cases, the laws enforced are international laws. On your own, you may not have the legal know-how and experience to defend yourself. There are also several agencies involved in these cases. This calls for resources and networks on the part of the defense lawyer. Experienced commodities lawyers are your best bet to getting the charges dropped or receiving a lighter sentence. It is imperative that you consult with one immediately after you receive notice of an investigation.