Fraudsters Who Stole $30M to be Jailed 5 Years

The Department of Justice reported that two American men who organised a $30 million fraudulent foreign exchange (forex) trading operation had been given jail terms of up to five years.

Florida resident Michael Dion, aged 50, was given a sentence of four years and seven months in prison, while Massachusetts resident Patrick Gallagher, aged 45, received a five-year prison term. Both admitted guilt to conspiring to conduct securities fraud in September 2022, which carries a five-year maximum prison sentence.

According to court filings, the forex trading scheme was run by Gallagher and Dion through their company, Global Forex Management. They co-conspired with an online trading platform provider named IB Capital and promised high profits based on faked prior returns.

They informed investors that their funds would be traded using an internet trading platform provided by the corporation of a co-conspirator, IB Capital, and they promised investors high profits based on faked prior returns.

Indeed, by working with their accomplices in The Netherlands, Gallagher and Dion stole the investors' money. By purposefully making unsuccessful transactions in May 2012, they stole $30 million from investors. The money was then transferred through fictitious shell companies that were formed all across the world after they faked the enormous loss.

Remember to always verify a forex broker's regulatory status and perform thorough due diligence. A legitimate governing body ought to be in charge of overseeing it. Verify the licences for the platforms, then visit the licencing authority's website to confirm the licence's validity. You should confirm the legitimacy of the financial institution issuing the licence.

Reputable regulators include:

- FSC (Mauritius Financial Services Commission)

- FCA (UK Financial Conduct Authority)

- FSCA (South Africa Financial Sector Conduct Authority)

- SCB (Securities Commission of the Bahamas)

- IFSC (Belize International Financial Services Commission)

- CySEC (Cyprus Securities and Exchange Commission)

Download the free WikiFX mobile application on Google Play/App Store to make this process simple and time-efficient. WikiFX is a dedicated platform that houses the information of over 43,000 brokers throughout the globe while working hand-in-hand with national regulators.

Every broker's license and regulatory information could be easily found in WikiFX's database. Here are some examples to illustrate how straightforward this process is:

If you have no specific forex broker in mind, then you can also utilise our free functions for your convenience, such as choosing brokers that are regulated by your local regulatory body or picking brokers from the top of WikiFXs ranking board.

However, if you have unfortunately fallen into the traps of scam brokers like those mentioned above, in that case, you can seek assistance from WikiFX's customer support team (please refer to the information below). Our trained members will be able to provide guidance at zero cost by gathering solid evidence that could allow us to step in and mediate the situation.