The Commodity Futures Trading Commission (CFTC) has launched a lawsuit against Roberto Pulido and Lions of Forex LLC.

The CFTC complaint, filed with the Florida Southern District Court on September 28, 2023, alleges that from at least January 2019 to at least March 2021 (the “Relevant Period”), Roberto Pulido a/k/a Berto Delvanicci, aided and abetted by Lions of Forex LLC (LOF), fraudulently solicited clients for the purported purpose of trading leveraged or margined retail off-exchange foreign currency in accounts to be managed on their behalf.

Some of the clients solicited by the defendants subscribed to a retail forex signals trading service offered by LOF for which LOF offered to send signals to buy or sell retail forex for a monthly fee, and, for a higher monthly fee, offered live one-on-one training with “Berto Delvanicci.”

In fraudulently soliciting these clients, Defendants made use of the mails and other means or instrumentalities of interstate commerce, i.e., social media platforms, LOF’s website, texts and/or other forms of electronic and telephonic communications.

Pulido, aided and abetted by LOF, falsely represented to clients that they would earn guaranteed monthly profits by having Pulido use his discretion to purportedly trade retail forex on their behalf, and that clients could withdraw their funds and have them returned at any time.

Based on these fraudulent representations and omissions, clients were fraudulently induced to transfer at least $175,000 to bank accounts in the name of LOF and others, all of which were controlled by Pulido, for the purported purpose of having Pulido use his discretion to trade retail forex on their behalf.

Clients were not paid their guaranteed monthly profits as promised, and, in spite of clients’ requests to Pulido and/or LOF to return their funds, client funds totalling at least $170,000 have not been returned to clients.

At the time such representations were made, Pulido acted intentionally or recklessly in falsely guaranteeing profits from the trading and falsely representing that clients could withdraw their funds and have them returned at any time. LOF knew that these representations made by Pulido were false.

The CFTC accuses Pulido of violations of Sections 4b(a)(2)(A) and (C) of the Act, 7 U.S.C. §§ 6b(a)(2)(A), (C), and Commission Regulation 5.2(b)(1) and (3), 17 C.F.R. § 5.2(b)(1), (3) (2022).

Further, by this conduct, during the Relevant Period and pursuant to the Retail Forex Fraud Scheme, Pulido acted as a Commodity Trading Adviser (“CTA”) as defined in Section 1(a)(12) of the Act, 7 U.S.C. § 1(a)(12), and violated Section 4o(1)(A) and (B) of the Act, 7 U.S.C. §6o(1)(A), (B).

During the Relevant Period, by this conduct and the conduct further described herein, LOF knowingly associated itself with this Retail Forex Fraud Scheme and participated in it to make it succeed and thereby willfully aided and abetted Pulido’s Retail Forex Fraud Scheme pursuant to Section 13(a) of the Act, 7 U.S.C. § 13c(a).

During the Relevant Period, Pulido has directly or indirectly controlled LOF and LOF’s bank accounts as its Chief Executive Officer (CEO) and sole manager. In his capacity as controlling person of LOF, Pulido has not acted in good faith or knowingly induced, directly or indirectly, the acts of LOF that constitute violations of the Act and Regulations. Defendant Pulido is therefore liable for LOF’s violations pursuant to Section 13(b) of the Act, 7 U.S.C. § 13c(b).

The CFTC seeks monetary penalties, disgorgement and restitution, as well as injunctions against the defendants.