Washington, D.C. — The Commodity Futures Trading Commission today announced the successful conclusion of the receivership in CFTC v. Walsh, et al., a $1.3 billion Ponzi scheme case the CFTC filed in 2009. [See CFTC Press Release No. 5621-09]. On September 19, the U.S. District Court for the Southern District of New York approved the receiver’s final account and report, discharged the receiver, and accepted the receiver’s request to deposit the remaining receivership funds with the court.
During the receivership, over $1 billion was returned to investors in a commodity pool operated by defendants Paul Greenwood and Stephen Walsh, constituting 100% of all approved investor claims. The court-appointed receiver for this matter was Robb Evans & Associates LLC.
The order follows the entry of final judgments against Walsh and Greenwood on November 13, 2019 and November 19, 2019, respectively. The assets marshalled in this case include over $88 million in funds clawed back from fully redeemed investors, a $14 million horse farm in North Salem, N.Y., a collection of antique teddy bears sold at auction at Christie’s for over $3.7 million, and an estate in Sands Point, N.Y.
“As this long-standing litigation demonstrates, where customers are egregiously harmed by greedy fraudsters who misappropriate funds entrusted to them, the CFTC is resolute in its commitment to protecting customers and achieving justice,” said Acting Director of Enforcement Gretchen Lowe. “I…
