Israeli-German-Dutch scam network allegedly produced more than 200,000 victims in Germany
In September 2021, the Israeli cybercrime kingpin Gal Barak was sentenced to four years in prison for investment fraud and money laundering in Austria. German prosecutors, led by Nino Goldberg, also want to charge Gal Barak, see him convicted and sentenced to prison. Barak appealed against the indictment; the case is currently before the European Court of Justice. Barak's former boiler room manager Tal-Jacki Fitelzon has already been indicted. Barak's former partner in crime, Uwe Lenhoff, died in prison last year, but his co-conspirators will be indicted. Barak and Lenhoff allegedly produced more than 200,000 victims in Germany!
Update on InvestXE broker scam activities and its desperate moves to stop the reporting!
The Israeli trading platform form of PandaTS is home to countless white-label scams. In his court confession, the Israeli cybercrime principal Gal Barak admitted that he knew trading was being manipulated via PandaTS. In doing so, he placed the entire blame on PandaTS. He would have been only a small element as the operator of the white-label scams XtraderFX or SafeMarkets. He was sentenced to a 4-years prison term. The InvestXE (www.investxe.com) broker scams also run on PandaTS and fabricate victims non-stop. We received many victim complaints this week.
R4I – Broker scam Infinitrade, Praxis Cashier, and Maltese Paytah
In May 2020, the UK FCA issued an investor warning against the Infinitrade broker scam, operated by A&E Products Ltd, registered in Bulgaria. We know that the scam by payment processors Praxis Cashier, Paytah, and Crypto1 were involved. We are also aware that the MFSA has received complaints from victims about Paytah and is referring them to the Ombudsman. Therefore, we would like to know more to support the victims' claims.
More victim complaints about PandaTS white-label scam InvestXE
The Israeli trading platform form of PandaTS is home to countless white-label scams. In his court confession, the Israeli cybercrime principal Gal Barak admitted that he knew trading was being manipulated via PandaTS. In doing so, he placed the entire blame on PandaTS. He would have been only a small element as the operator of the white-label scams XtraderFX or SafeMarkets. He was sentenced to a 4-years prison term. The InvestXE (www.investxe.com) broker scams also run on PandaTS and fabricate victims non-stop.
Breaking News – Israeli boiler room manager Tal Jacki Fitelzon indicted in Germany
In September 2020, the Israeli Gal Barak was to four years in prison for investment fraud and money laundering. The millions of euros seized will be paid out to the victims eventually because the Austrian court is very slow in this regard. Gal Barak should also be charged in Germany but has appealed against it. The case is currently before the European Court of Justice. His co-conspirator, Israeli Tal Jacki Fitelzon, on the other hand, has now been indicted in Germany. He was previously in pre-trial detention.
Another regulator warning against TradeVtech facilitated by BridgerPay
FinTelegram issued an investor warning against TradeVtech in early July 2021. At the time, the scam was operated by UMedia LLC a/k/a UM Media LLC in St. Vincent and the Grenadines; we uncovered BridgerPay as the scam-facilitating payment processer. Later, the offshore entity Universal Services LLC was stated as the scam operator. BridgerPay does not seem to mind that its scam clients attack and defraud consumers in Europe. In July 2021, the UK FCA issued a warning against TradeVtech; today, the Austrian FMA warned against it.
CFTC’s Notice of Allegation in the fraud complaint against Cartu Brothers and other Defendants
The U.S. CFTC filed a fraud complaint against David Cartu, Joshua Cartu, Jonathan Cartu ("Cartu Brothers"), and others in September 2020 alleging vast binary options fraud in the amount of $165 million. The lawsuit could not be served by the CFTC or the relevant U.S. court. So, the CFTC, through paid advertisements in media outlets such as The Times of Israel, has conceded notice of the lawsuit, including notice of meetings and deadlines. Below is yesterday's advertisement from the Times of Israel. As a courtesy to the CFTC and in support of the victims, we are also posting this Legal Notice here on FinTelegram.
R4I – Group 500 & Genesis11 broker scams and their network
We recently reported that the UK FCA issued an investor warning against the Group 500 scam broker. We have subsequently been contacted by victims of the scam who have provided us with additional information. Around 30 victims who have lost around GPB 1M and their lawyers are pursuing the Group 500 network. The victims have discovered that apparently Genesis11, as well as S J Global Investments Worldwide Limited, Pearlwealth Limited, and other companies, are also part of the scam network. We would like to know more.
Malta’s compliance issues – MGA executive James Grech and his private ventures
Another issue in Malta's long list of regulatory compliance incidents came up. Malta is a popular place for gambling licenses issued and regulated by the Malta Gaming Authority (MGA). But like MFSA, MGA has serious issues with itself. It turned out that its Chief Officer Internal Audit James Grech was working on private business while in office, raising conflict of interest concerns, our sources say. He was providing LEAD Training Services in anti-money laundering, MLRO, internal auditing, and other gaming-related topics. Malta, for sure, has a big problem with its regulators and war grey-listed for good reasons!