Clarksville Realtors Charged With Fraud In $6 Million Crypto Scheme
Image Credit: Jievani Weerasinghe / UnSplash
The Tennessee Conservative [By Jason Vaughn] –
Two Clarksville real estate agents managed to swindle over $6 million from more than 100 people in a commodity pool they called “Blessings of God Thru Crypto.”
A complaint filed by the Commodity Futures Trading Commission on Tuesday alleges that Michael and Amanda Griffis, owners of EXIT Realty Screamin’ Eagle, failed to register with the CFTC and defrauded more than 100 people from July 2022 to January 2023.
The complaint accuses the pair of contacting contacts made through their real estate business and offering to let them pool money with a group that would trade digital asset commodity futures contracts.
They allegedly assured potential investors that the funds would be safe and that they could expect high returns on the investments as the defendants would use the money to trade “crypto futures.”
“As alleged, the defendants promised pool participants a safe investment in digital asset futures contracts with huge profit potential. The promises were underpinned by the trust the victims placed in the defendants,” said CFTC Director of Enforcement Ian McGinley. “The defendants betrayed their pool participants, and they profited from that betrayal. Today’s filing reinforces the CFTC’s long-standing commitment to hold accountable those who take advantage of victims.”
The complaint states that the defendants supposedly sent $4 million of the collected money to the “Apex Trading Platform” to be traded with the advice of someone known only as “Coach Wendy.” However, the CFTC alleges that instead that money was moved to a variety of places where the defendants no longer had control and could not recover the funds.
Another $1 million of the funds was used to cover the defendants’ personal debt and to purchase luxury items. The remaining money was used to issue small payments in an attempt to prolong the scheme.
“In an effort to perpetuate the scheme as long as possible, the remainder of pool funds were misappropriated by the defendants to issue Ponzi-like payments,” according to the release.
The CFTC “seeks restitution to defrauded pool participants, civil monetary penalties, permanent trading and registration bans, and a permanent injunction against further violations of the Commodity Exchange Act and CFTC regulations.”
In their statement, the CFTC does note that victims of the scheme may not recover any of their funds because the defendants may not have funds or assets to cover it, even if required.
Individuals who suspect or know of suspicious activity regarding possible violations of trading laws can file a complaint online with the Division of Enforcement and may be eligible to receive a portion of monetary sanctions paid by those who violate the CEA.
About the Author: Jason Vaughn, Media Coordinator for The Tennessee Conservative ~ Jason previously worked for a legacy publishing company based in Crossville, TN in a variety of roles through his career. Most recently, he served as Deputy Director for their flagship publication. Prior, he was a freelance journalist writing articles that appeared in the Herald Citizen, the Crossville Chronicle and The Oracle among others. He graduated from Tennessee Technological University with a Bachelor’s in English-Journalism, with minors in Broadcast Journalism and History. Contact Jason at news@TennesseeConservativeNews.com
