The case involving Oasis, a $78 million Ponzi Scheme
that masqueraded as a forex exchange investment fund, took a new turn after the
court reversed the dismissal of a
complaint against the alleged accomplices, including ATC Brokers.
Burton Wiand, acting as the receiver for Oasis
International Group, sued the forex and Contract for Difference broker ATC Brokers Ltd., the firm’s Co-Founder, David Manoukian, and Spotex LLC. Wiand
alleged that these entities and individual were involved in fraudulent
transfers.
However, the district court initially dismissed
Wiand’s claims, citing lack of standing and statutory immunity under the
Communications Decency Act. Wiand’s actions aimed to recover assets for the investors.
According to the latest court documents, Oasis International
Group presented itself as a lucrative opportunity for investors, promising high
returns through currency futures trading.
However, the venture reportedly turned out to be a
sophisticated Ponzi scheme, which caused investors losses through misappropriation
of funds. Oasis operated as a foreign currency investment fund, promising
investors high returns. However, according to the court’s decision, the operators
of the firm concealed losses, misappropriated funds, and paid out fictitious
returns.
Citing the appeal filed before the US District Court
for the Middle District of Florida, the court document mentioned: ” We
conclude that the district court erred in dismissing the fraudulent-transfer
claims for lack of standing.”
“And although the district court correctly
concluded that Wiand lacked standing to maintain the tort claims, it erred in
dismissing those claims with prejudice and should not have reached the issue of
statutory immunity.”
Legal Standing and Allegations
Incorporated in England and Wales, ATC Brokers facilitated trading activities for Oasis,
while Spotex provided software to present the alleged fraudulent returns to investors.
Wiand’s legal pursuit targeted these entities, alleging complicity in the
scheme’s operations.
The court added: “As a registered forex broker,
ATC Brokers was required to conduct due diligence before onboarding potential
traders. ATC Brokers’s services allow licensed and approved foreign investment
entities to trade on London markets on behalf of their underlying investor
clients.”
ATC Brokers’ approval of Oasis’ forex trading accounts
and its provision of liquidity reportedly enabled Oasis to engage in high-risk
trading activities. With leverage of 100:1, Oasis made substantial bets,
ultimately leading to significant losses, the court mentioned.
The case involving Oasis, a $78 million Ponzi Scheme
that masqueraded as a forex exchange investment fund, took a new turn after the
court reversed the dismissal of a
complaint against the alleged accomplices, including ATC Brokers.
Burton Wiand, acting as the receiver for Oasis
International Group, sued the forex and Contract for Difference broker ATC Brokers Ltd., the firm’s Co-Founder, David Manoukian, and Spotex LLC. Wiand
alleged that these entities and individual were involved in fraudulent
transfers.
However, the district court initially dismissed
Wiand’s claims, citing lack of standing and statutory immunity under the
Communications Decency Act. Wiand’s actions aimed to recover assets for the investors.
According to the latest court documents, Oasis International
Group presented itself as a lucrative opportunity for investors, promising high
returns through currency futures trading.
However, the venture reportedly turned out to be a
sophisticated Ponzi scheme, which caused investors losses through misappropriation
of funds. Oasis operated as a foreign currency investment fund, promising
investors high returns. However, according to the court’s decision, the operators
of the firm concealed losses, misappropriated funds, and paid out fictitious
returns.
Citing the appeal filed before the US District Court
for the Middle District of Florida, the court document mentioned: ” We
conclude that the district court erred in dismissing the fraudulent-transfer
claims for lack of standing.”
“And although the district court correctly
concluded that Wiand lacked standing to maintain the tort claims, it erred in
dismissing those claims with prejudice and should not have reached the issue of
statutory immunity.”
Legal Standing and Allegations
Incorporated in England and Wales, ATC Brokers facilitated trading activities for Oasis,
while Spotex provided software to present the alleged fraudulent returns to investors.
Wiand’s legal pursuit targeted these entities, alleging complicity in the
scheme’s operations.
The court added: “As a registered forex broker,
ATC Brokers was required to conduct due diligence before onboarding potential
traders. ATC Brokers’s services allow licensed and approved foreign investment
entities to trade on London markets on behalf of their underlying investor
clients.”
ATC Brokers’ approval of Oasis’ forex trading accounts
and its provision of liquidity reportedly enabled Oasis to engage in high-risk
trading activities. With leverage of 100:1, Oasis made substantial bets,
ultimately leading to significant losses, the court mentioned.
