The US Commodity Futures Trading Commission (CFTC) has announced that the CFTC has revoked the Commodity Pool Operator (CPO) and Commodity Trading Advisor (CTA) registrations of Veruus Wealth Management, a Colorado limited liability company located in Denver, Colorado.
The CFTC notified Veruus on August 21, 2013, of the CFTC’s intent to revoke the company’s registrations on grounds that Veruus had engaged in civil theft and conversion of investments in a Veruus-managed foreign exchange (Forex) trading account (see CFTC News Release 6668-13, August 21, 2013).
When the company failed to respond, a CFTC Judgment Officer issued a decision on January 7, 2014, revoking the company’s CPO and CTA registrations. As a basis for revoking the registrations, the Judgment Officer specifically found that the District Court for the City and County of Denver, Colorado had entered an order of default judgment against Veruus on November 28, 2012 in private litigation (DRCK LLC, et al v. Direction Labs, Inc., Veruus Wealth Management, LLC, et al., Case No. 2012CV5305 (Denver Co. D. Ct., 2nd JD, filed August 24, 2012)), where the Plaintiffs had alleged that the Defendants had solicited them to invest in a Veruus-managed forex trading account.
The Denver Court also found Veruus liable for the theft and conversion of $339,517.79 in investor funds. The Judgment Officer’s decision became a final order of the CFTC on February 6, 2014.
CFTC Division of Enforcement staff members responsible for this action are Susan B. Padove, Elizabeth M. Streit, Joy McCormack, Scott R. Williamson, Rosemary Hollinger, and Richard B. Wagner.