Digitex CEO To Pay Over $15 Million Over CFTC Charges

It has been revealed the fact that Digitex CEO will pay $15 million over the CFTC charges. Check out the latest reports about this below.

A federal court has ruled that Digitex Futures, a digital asset exchange, and its CEO Adam Todd must pay over $15 million for violating U.S. regulatory rules on manipulation and registration.

The Commodity Futures Trading Commission charged Todd and the exchange last year, stating that they attempted to manipulate the price of their native DGTX token and did not register with the agency.

“This order resolves yet another action against an individual and digital asset exchange illegally offering futures contracts to U.S. customers,” Division of Enforcement Director Ian McGinley said in a statement on Wednesday.

The U.S. District Court for the Southern District of Florida has issued a ban on Todd and his companies, which include Digitex LLC, Digitex Limited, Digitex Software Limited, and Blockster Holdings Limited Corporation. A judge presided over the case.

The CFTC issued a warning to investors in its statement.

“The CFTC cautions that orders requiring payment of funds to victims may not result in the recovery of any money lost because wrongdoers may not have sufficient funds or assets,” it said. “The CFTC will continue to fight vigorously for the protection of customers and to ensure the wrongdoers are held accountable,” the agency said.

In other news, the Consumer Financial Protection Bureau (CFPB) and Office of the Comptroller of the Currency (OCC) found that Bank of America imposed hidden fees, withheld credit card rewards, and opened fraudulent accounts over a period of several years.

Specifically, the bank is being fined for “systematically double-dipping on fees imposed on customers with insufficient funds in their account, withholding reward bonuses explicitly promised to credit card customers, and misappropriating sensitive personal information to open accounts without customer knowledge or authorization.”