Vincent Patrick McCrudden of Dix Hills, New York, is facing charges of registration violations brought by the U.S. Commodity Futures Trading Commission (CFTC), announced December 14, 2010. The CFTC filed a complaint in the U.S. District Court for the Eastern District of New York alleging McCrudden failed to register as an Associated Person (AP) of a Commodity Pool Operator (CPO), operated as a CPO without proper registration, and submitted inaccurate exemption claims to the CFTC.
According to the complaint, McCrudden owned and solely operated Alnbri Management, LLC (Alnbri) and Managed Accounts Asset Management, LLC (MAAM). MAAM was dissolved in April 2009. From May 8, 2008, to September 30, 2008, McCrudden allegedly solicited customers for the Hybrid Fund II commodity pool while acting as an AP for both MAAM and Alnbri, all without being properly registered.
The CFTC alleges McCrudden controlled the operations of Hybrid Fund II, as outlined in the fund’s Private Placement Memoranda from March 1, 2008, and December 1, 2008. After the National Futures Association disqualified MAAM from registration as a CPO in 2005, McCrudden filed a notice of exemption for MAAM to operate the Hybrid Fund II. However, the fund reportedly failed to meet the requirements for exemption, and McCrudden never registered MAAM with the CFTC.
In March 2008, McCrudden replaced MAAM with Alnbri as the exempt CPO for Hybrid Fund II with the Delaware Secretary of State. However, Alnbri also allegedly never registered with the CFTC as a CPO, nor did McCrudden ever register as an AP for either MAAM or Alnbri, despite soliciting investments and supervising employees of the Hybrid Fund II.
The CFTC is seeking civil monetary penalties, permanent registration and exemption bans against McCrudden, Alnbri, and MAAM. They also aim to restrict the defendants’ ability to provide commodity trading advice and secure permanent injunctions prohibiting further violations of federal commodities laws. The case is being litigated by Timothy J. Mulreany, Michael Amakor, Saadeh A. Al-Jurf, Sophia Siddiqui, Joseph Rosenberg, Paul Hayeck and Joan Manley of the CFTC’s Division of Enforcement.
Source: CFTC.gov
Related Federal Cases
- Sean Patrick, Unlicensed Firearms Dealing, New York 2024 · New York
- Christopher Ferguson, Scheme to Inflate Order Numbers, New York 2023 · New York
- Letitia James Cracks Down on Cashless Ban, New York NY, 2024 · Delaware
- Letitia James, Embezzlement, New York 2023 · New York
- Letitia James, DOJ Lawsuit Dismissed, New York NY, 2023 · Delaware
MORE FEDERAL CRIME NEWS
US NewsUS NewsUS NewsUS News