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New Fraud Case on ex-broker Jason Amada of New York? (2024)

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Ex-broker Jason Amada of New York is behind bars for defrauding investors. The Unveiled Truth (2024)

Amada professed to be an accomplished forex trader and proprietor of an investment management company. He said that he was an expert in FX trading. In 2012, he withdrew his broker license for failing to disclose material information.  Before we examine his case, let us first review his background:

Concerning Jason Amada NY

Jason Ari Amada, a former stockbroker from Queens’ Forest Hills area, was found guilty of participating in a fraudulent foreign exchange trading operation and was sentenced as a result of the conviction. 

The 42-year-old Amada was convicted of stealing about $489,000 from gullible people who had put their faith in his dubious investment schemes. The victims had no idea what they were getting themselves into when they had trusted Amada’s schemes. 

His acts have rightfully earned him a place in the annals of financial misbehavior since he took advantage of lies and dishonesty to defraud those who had put their hard-earned money in his hands. His actions rightfully earned him a spot in the annals of financial misbehavior.

After being found guilty and sentenced in the New York County Supreme Court, Amada received a prison term ranging from three to six years. This decision serves as a testament to the seriousness of his acts, which included not only misappropriating the funds of his clients to use them for his gain but also losing enormous sums of money that belonged to them due to reckless trading. 

Amada’s actions serve as a harsh reminder of the consequences of breaking the law and preying on people who are unaware of the dangers they could fall victim to, especially in the financial industry where honesty and transparency are highly valued.

Jason Amada NY: Convicted of deceiving investors, but how?

Jason Amada was sentenced to three to six years in prison for his fraudulent scheme to swindle investors of over $489,000. The foreign exchange trading was a part of the three-year strategy.

New York Attorney General Letitia James made the statement that former stockbroker Jason Amada, 42, of Forest Hills, Queens, had been found guilty and punished for stealing more than $489,000 from victims who had participated in his bogus foreign currency trading enterprise. 

Amada received a term for embezzling money from people who had made investments in his fake business. The Supreme Court of New York County condemned Amada to three to six years in prison after he signed an admissions verdict on one of his eight victims.

Attorney General James emphasized that regulation compliance is a must for Wall Street employees in the same way that it is for Main Street employees. 

She drew attention to the fact that Jason Amada engaged in hazardous behavior that caused significant losses for his investors rather than investing his clients’ money in profitable funds. This was one of Jason Amada’s most heinous offenses, according to her. She also highlighted the fact that Amada had continued to mislead investors by treating their funds like his piggy bank. 

He had furthered his scheme by producing fake account statements that falsely claimed he was making money for them. This was done in an attempt to trick them into keeping on working with him. Since no one is above the law, she asserted, her office would utilize all of the resources at its disposal to ensure that perpetrators were brought to justice.

Amada pled guilty to the counts of Grand Larceny in the Second Degree, a Class C felony, and Scheme to Defraud in the First Degree, a Class E felony, before the Honorable Maxwell Wiley in the New York County Supreme Court in September. Both accusations pertain to Class E felonies. 

Due to his guilty pleas, the Attorney General’s Criminal Enforcement and Financial Crimes Bureau was able to successfully settle both sets of claims against him. On August 29, 2018, Amada was placed under arrest based on an accusation that claimed he had deceitfully convinced a client to spend €250,000, only to wipe out 99% of her capital in less than 45 days of active foreign exchange trading. 

Based on claims that Amada participated in these actions to benefit financially for himself, the accusation was made. Following his apprehension, more victims disclosed that they had likewise made investments with Amada and subsequently lost their money in circumstances strikingly similar to those detailed in the testimonies of earlier victims. 

In response to complaints from seven more victims who were fraudulently convinced to invest with Amada, the Office of the Attorney General filed charges against the company between March 2015 and November 2018. 

The charges made by these victims include Amada’s alleged fraudulent activities to obtain investments from them. about the course of the scheme, Amada defrauded investors of about 489 thousand dollars.

Presenting himself to the public as an experienced foreign exchange (Forex) trader, Amada also claimed to be the owner and operator of numerous approved investment management firms. He did not, however, inform his victims that he had not held a position as a licensed broker since 2012. 

The fact that Amada Capital Management, LLC, Amada Capital, LLC, and Evolution FX Trading, among other companies he falsely claimed to be associated with, were only front companies with no real staff or operations was also withheld. Furthermore, none of the regulatory bodies in charge of supervising these kinds of operations had permitted them to trade foreign exchange.

Amada used strategies to save his victims’ money to protect their investments and persuaded them that he could trade Forex without taking any risks. He was able to force his victims to transact with him financially as a result. For example, one of his victims was tricked into thinking she couldn’t lose more than one percent of her entire investment by his fraud. 

To lessen the possibility of suffering any losses, Amada tricked one of his victims into believing he was going to use a hedged strategy. Amada used highly leveraged and aggressive trading techniques that caused his victims’ money to be quickly and completely lost, all the while keeping over $150,000 in commissions and other expenses for himself. This was not the case with the false claims that Amada made to his victims.

Amada utilized his investors’ funds to cover some of his expenses in addition to employing trading strategies that included a high degree of risk. Sometimes, Amada would just cash the victim’s investment checks. Other times, he would transfer funds from corporate financial accounts into his personal banking accounts. 

Business bank accounts were used to transfer the funds. During 2015 and 2018, Amada utilized the funds received from investors to cover expenses for vacation, dining out, clothing, credit card payments, installment loans to family members and close friends, cryptocurrency purchases, and even online gambling. Furthermore, at this time he took out almost $83,000 in cash withdrawals.  

Amada’s approach progressed because he was able to conceal his trading losses and the investor money he had stolen by providing his victims with fictitious account statements. Each month, Amada would create the details of profitable transactions to add to the convoluted letters he would send to his victims. These statements showed increasing earnings and balances in accounts. 

These false claims served as a mask for Amada’s illicit activities and also allowed him to convince some of his victims to continue funding his venture. Amada’s dishonesty allowed some of her victims to remain in the dark about the status of their money for years. The only way they knew the truth was when they asked Amada to return their money and he refused.

The Office of the Attorney General would like to thank Thomas Carocci of the Financial Industry Regulatory Authority (FINRA), Trial Attorney Nicholas Sloey, Senior Trial Attorney Rachel Hayes, and Futures Trading Investigator Elsie Robinson of the Commodities and Futures Trading Commission (CFTC) for their invaluable assistance in the investigation of this case.

Deputy Chief John McManus and Supervising Investigator Michael Leahy guided Investigator Brian Metz, who was in charge of conducting the investigation. The Investigations Bureau reports to Oliver Pu-Folkes, the Chief. The person in charge of completing the audit was Michelle Skripko, a principal forensic auditor. The Deputy Chief at this time, Sandy Bizzarro, is in command of the Forensic Audit Section.  

With assistance from Legal Assistance Analyst Ivan Ramirez and Supervising Legal Support Analyst Paul Strocko, who works for the Criminal Enforcement and Financial Crimes Bureau, the issue is being looked into by Deputy Attorneys General Fred Wyshak and Jeff Linehan. 

Under the direction of Chief Deputy Attorney General Jose Maldonado and First Deputy Attorney General Jennifer Levy, the Division of Criminal Justice includes the Criminal Enforcement and Financial Crimes Bureau. Deputy Bureau Chief Joseph G. D’Arrigo and Bureau Chief Stephanie Swenton oversee the Criminal Enforcement and Financial Crimes Bureau. The current Bureau Chief is Stephanie Swenton. The Deputy Bureau Chief at the moment is Joseph G. D’Arrigo.

Conclusion

Jason Amada, a former broker, was found guilty of defrauding investors of over $489 thousand through a fraudulent foreign exchange trading scheme that he operated between 2015 and 2018. Because of his involvement in the conspiracy, he was sentenced to three to six years in prison. 

He concealed the fact that he hadn’t held a broker’s license since 2012, giving the appearance that he was a skilled trader. He painted a false picture of himself. He was charged with multiple felonies as a result of the inquiry, and he eventually entered a guilty plea for grand theft and conspiracy to deceive. 

An earlier issue was revealed by Amada’s experience dealing with securities firms. This case makes it abundantly evident how important it is to hold financial industry wrongdoers accountable and makes it very evident that misleading acts in the securities industry will have dire legal consequences.

I have located Jason Amada’s FINRA reports, which are listed below along with links:

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