The US Commodity Futures Trading Commission (CFTC) has successfully secured a significant penalty against deceptive crypto trader Abner Alejandro Tinoco and his firm Kikit & Mess Investments, LLC. This outcome concludes a lengthy legal battle spanning three years. In October 2021, the CFTC filed a civil enforcement action against Tinoco and his company, alleging solicitation and misappropriation of over $3.9 million from 61 clients. Tinoco portrayed Kikit as an investment entity managing portfolios through forex and crypto trading. However, investigations uncovered that the funds were diverted for Tinoco's personal use, including a private jet and real estate, while fake profits were presented to investors in a Ponzi-like scheme. Following legal action, a final ruling in July 2024 mandated Tinoco and Kikit to pay fines exceeding $31 million, including compensation to fraud victims and a civil penalty. Tinoco is currently serving an 84-month sentence for wire fraud and ordered to compensate victims. Read more AI-generated news on: https://app.chaingpt.org/news