The U.S. CFTC imposes a $36 million fine on a New York resident suspected of engaging in a cryptocurrency fraud scheme

ChainCatcher news, the U.S. CFTC has imposed a fine of $36 million on New York resident William Koo Ichioka for allegedly deceiving cryptocurrency investors through promises of high returns and using the funds for personal expenses.
According to a statement on September 20, the CFTC ordered Ichioka to "pay $31 million in restitution" to victims and an additional $5 million in civil penalties for operating fraudulent forex and cryptocurrency schemes. The CFTC stated that Ichioka launched the scheme in 2018, accepting funds from investors and falsely promising "a 10% return every 30 business days." It further claimed that while Ichioka did invest "some funds" in foreign currencies and cryptocurrencies as promised to investors, he "mixed" investors' money with his own for personal expenses, including "rent for personal residences, jewelry including watches, and luxury cars."
This decision came more than a year after a court's "preliminary consent order for a permanent injunction against Ichioka" in August 2023. At that time, the regulator prohibited him from "trading in any CFTC-regulated markets and also barred him from registering with the CFTC."