A Milton man and his company have been ordered by a federal judge to pay $2.6 million in fines and restitution to settle allegations of foreign currency fraud.
The U.S. Commodity Futures Trading Commission said this week Robert A. Christy and his firm, Crabapple Capital Group LLC, defrauded 22 investors who put more than $1.4 million into an investment pool.
The CFTC said that from at least October 2008 to April 2012, Christy misrepresented his firm’s financial performance and experience and promoted the company as having regular trading profits that were not real. Regulators said Christy used his company’s checking account to fund personal expenses, and that he prepared false financial statements to conceal the fraud.
Christy and Crabapple also were accused of making false statements to the National Futures Association, an industry regulator.
The court order included a permanent ban from the commodities industry, as well as $1.5 million in fines and nearly $1.1 million in restitution.
A message left for Christy was not immediately returned.
About the Author
