A former boss of a Metropolis of London overseas trade firm has been discovered responsible of a £70m Ponzi-style overseas trade funding fraud.
Anthony Constantinou, 41, was discovered responsible on Monday after a seven-week trial at Southwark Crown Courtroom.
He absconded throughout the trial and a global arrest warrant has been issued to hint him. In his absence he was discovered responsible of fraud by false representations, fraudulent-trading and cash laundering.
The case concerned an funding scheme generally known as the ‘Managed Account’, which was supplied primarily by an organization known as CWM, Capital World Markets or CW Markets.
From late 2013 to March 2015, CWM supplied buyers very excessive returns of round 5% per calendar month – 60% a yr – on allegedly risk-free transactions on overseas trade markets.
Greater than 250 buyers have been interested in the scheme by the promise of excessive rewards. They have been advised that CWM had particular methods of FX buying and selling that gave it entry to preferential costs and meant it will at all times generate profits on trades. The claims have been lies.
There was normally a minimal funding of £50,000, rising to £100,000 later.
Within the basic Ponzi-style scheme, buyers’ returns have been paid immediately out of the investments and the remainder of the cash was spent.
Tens of millions of kilos have been lavished on the picture of CWM, together with sponsorship offers designed to make the corporate look profitable and thereby appeal to but extra funding, and thousands and thousands of kilos have been paid for the good thing about Mr Constantinou who managed the funds.
Emma Beazley of the CPS stated: “This was a callous rip-off concentrating on members of the general public. Many individuals misplaced their hard-earned cash due to Constantinou’s greed and false guarantees on this faux funding scheme.”
Detective Inspector Nichola Meghji, of the Metropolis of London Police, stated: “This has been a long-running and complicated investigation. Anthony Constantinou is a profession felony who’s out to make as a lot cash for himself as doable, with no regard for anybody else.
“All through this prolonged investigation, Constantinou has continued to attempt to deceive officers and deny any wrongdoing. In an additional transfer to disclaim any involvement on this case, he determined to cease attending his trial.
“We’re glad that the jury has seen via his lies and located him responsible.”
Mr Constantinou might be sentenced later.
