A New York man was ordered to pay $228 million for a cryptocurrency Ponzi Scheme.

[Coin World] Reports say a New York man and his "Ponzi Scheme" company have been ordered to pay over $228 million after a federal agency accused him of enticing millions to trade assets including crypto assets, then misappropriating those funds to purchase luxury cars. New York District Judge Valerie Caproni on Tuesday approved the Commodity Futures Trading Commission's (CFTC) motion for summary judgment. The Commodity Futures Trading Commission (CFTC) had previously requested the court to allow the case to proceed without a trial based on existing statements.

In 2022, the Commodity Futures Trading Commission (CFTC) charged Eddy Alexandre and his company EminiFX, Inc., claiming he raised $59 million from hundreds of people to trade forex and Crypto Assets, and misappropriated a large amount of funds. The Commodity Futures Trading Commission (CFTC) also noted in the complaint that Alexandre and his company were never registered with the agency.

Judge Caproni stated on Tuesday: "For the above reasons, the motion for summary judgment by the Commodity Futures Trading Commission (CFTC) has been granted." "Defendants Alexandre and EminiFX are jointly and severally liable to pay a total of $228,576,962 in damages. Defendant Alexandre is liable for $15,049,500 in illicit gains. Any damages paid by Alexandre shall offset his obligation for illicit gains."

Caproni stated in the order that thousands of investors committed to investing at least $262 million in EminiFX, with total losses amounting to $49 million. The Commodity Futures Trading Commission (CFTC) stated that Alexandre misappropriated a large amount of client funds. The Commodity Futures Trading Commission (CFTC) stated in May 2022: "For example, Alexandre used participant funds to make payments to BMW, Mercedes-Benz, and Saks Fifth Avenue." "Payments were also used for flights, luxury hotels, clothing, and professional and physical therapy expenses."

According to the Southern District Attorney of New York, Alexandre also faces criminal charges, pleaded guilty, and was sentenced to nine years in prison.