The U.S. CFTC imposes a $130 million fine on the founder of EmpiresX for cryptocurrency fraud

ChainCatcher News, the U.S. Commodity Futures Trading Commission (CFTC) announced that a U.S. federal court has ordered the Brazilian founders of the illegal cryptocurrency investment platform EmpiresX to pay over $130 million in fines and restitution.

On February 4, U.S. District Judge Cecilia Altonaga for the Southern District of Florida imposed a permanent injunction, financial penalties, and other legal actions against EmpiresX founders Emerson Pires, Flavio Goncalves, and their partner Joshua Nicholas.

According to court documents, Empires Consulting operated a fraudulent investment scheme called EmpiresX, which falsely promised high returns to investors. Pires and Goncalves are accused of obtaining at least $40 million from victims through deceptive cryptocurrency advertisements.