LAWSUITS NEWS & LEGAL INFORMATION
Commodity Futures Scam
Vancouver, British Columbia; (Apr-07-08) The British Columbia Securities Commission (BCSC) brought charges against Kevin Jason Steele, David John Fulkco and his father Wallace Gerard Fulkco, three B.C. residents, alleging that they violated various securities laws. The suit claimed that the violations occurred when the three solicited investors to participate in a scheme involving commodity futures contract trading, which resulted in US investors losing approximately $7 million.
BSCS officials stated that between October 2002 and May 2005, the defendants solicited investors to enter into investment contracts with Steele's trading business that promised 8% per month returns. Steele's scheme misrepresented to investors and to the Fulkcos that he was a successful commodity futures contract trader who would use their money for trading. Steele allegedly created fictitious account statements that showed false trading profits for commodity futures contracts.
Steele was ordered to pay investors approximately $7.4 million US in restitution and ordered a civil monetary penalty of $6.2 million. As part of a settlement reached, Steele is prohibited lifelong, from buying or selling securities, except in limited circumstances, from acting as a director or officer of any issuer and engaging in investor relations. The Fulkcos are prohibited, for 10 to 15 years, from buying or selling securities, except in limited circumstances, from acting as a directors or officers of any issuer and engaging in investor relations. [MARKETWIRE: BRITISH COLUMBIA SECURITIES COMMISSION: CONVICTED FRAUDSTER AND TWO ASSOCIATES BANNED FROM BC'S CAPITAL MARKETS]
Published on Apr-9-08
BSCS officials stated that between October 2002 and May 2005, the defendants solicited investors to enter into investment contracts with Steele's trading business that promised 8% per month returns. Steele's scheme misrepresented to investors and to the Fulkcos that he was a successful commodity futures contract trader who would use their money for trading. Steele allegedly created fictitious account statements that showed false trading profits for commodity futures contracts.
Steele was ordered to pay investors approximately $7.4 million US in restitution and ordered a civil monetary penalty of $6.2 million. As part of a settlement reached, Steele is prohibited lifelong, from buying or selling securities, except in limited circumstances, from acting as a director or officer of any issuer and engaging in investor relations. The Fulkcos are prohibited, for 10 to 15 years, from buying or selling securities, except in limited circumstances, from acting as a directors or officers of any issuer and engaging in investor relations. [
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