CFTC News Release 4488- 01 (97-Civ-7061)
For Release February 5, 2001
FEDERAL COURT ENTERS CONSENT ORDER OF PERMANENT INJUNCTION AGAINST ANTHONY HOLT FOR HIS INVOLVEMENT IN A FRAUDULENT COMMODITY POOL SCHEME
Holt is Permanently Barred from the Futures Industry and Agrees to Pay Civil Penalty
WASHINGTON – The Commodity Futures Trading Commission (CFTC) announced today that on January 30, 2001, the Honorable Harry D. Leinenweber of the U.S. District Court for the Northern District of Illinois entered a consent order of permanent injunction against Anthony Holt of Blountville, Tennessee in a CFTC enforcement action involving the fraudulent operation of multiple commodity pools.
The order stems from an injunctive complaint filed by the CFTC on January 28, 1998 (see CFTC News Release 4103-98, February 9, 1998). The complaint alleged that Holt and other named defendants solicited general partners and investors to form commodity pools in Ohio, Tennessee, and Virginia and defrauded pool investors by misrepresenting the risk of trading futures, failing to disclose trading losses, and issuing false reports, among other things, in violation of the anti-fraud provisions of the Commodity Exchange Act (CEA). The complaint also alleged that Holt acted as a commodity pool operator without being registered with the CFTC, in violation of sections 4b(a)(i) and (ii), 4o , 4m(1) of the CEA and CFTC regulation 4.13. Holt consented to the entry of the consent order without admitting or denying the allegations of the complaint.
The consent order requires Holt to pay a civil monetary penalty of up to $50,000, pursuant to a payment plan. The order also permanently enjoins Holt 1) from engaging in activities related to the commodity industry on behalf of others or himself, 2) from controlling or directing the trading of commodity accounts on behalf of other persons, entities or himself, and 3) from seeking registration, or claiming exemption from registration, with the CFTC. Lastly, the consent order permanently enjoins Holt from violating federal commodity laws and regulations.