For Release: July 3, 2003
THE U.S. COMMODITY FUTURES TRADING COMMISSION CHARGES COLORADO MAN AND HIS FIRM, Qi2 TECHNOLOGIES, WITH INTERNET FRAUD
Company Website Marketed to the Public a Trading Manual Entitled, How I Double My Money Annually In The Market
WASHINGTON, D.C. -- The U.S. Commodity Futures Trading Commission (CFTC) today announced the filing of a two-count administrative complaint against Roy M. Sidewitz alleging that Sidewitz committed fraud by using misleading internet advertising to solicit customers to purchase commodity futures products and services through www.cybrlink.com, a website Sidewitz created and controlled.
The complaint alleges further that Qi2 Technologies, Inc., a company wholly-owned by Sidewitz and through which he conducted his commodity trading advisory business, is also liable for Sidewitz’s fraudulent advertising. Sidewitz, who is not registered with the CFTC as a commodity trading advisor, resides in Boulder, Colorado.
The complaint, filed on June 30, 2003, alleges that, between late 1998 and January 2003, Sidewitz, using advertisements on his website, marketed to the public a trading manual entitled How I Double My Money Annually In The Market, outlining a commodity options trading system and a subscription-based options advisory service. According to the complaint, Sidewitz included statements on the website that fraudulently misrepresented the performance results of the trading system and advisory service as being based on actual trades, when, in fact, they were based on simulated or hypothetical trades. The complaint also charges that Sidewitz made false and misleading statements on the website, which overstated the profit potential of the commodity futures trading system and the advisory service that he was selling. The complaint also alleges that Sidewitz presented performance records for the commodity futures trading systems and advisory service without an appropriate disclaimer warning of the limitations of hypothetical or simulated performance results.
A public hearing has been ordered to determine whether the allegations in the administrative complaint against Sidewitz and Qi2 are true and, if so, what sanctions are appropriate. Possible sanctions include a cease and desist order, trading prohibitions, repayments to customers, and civil monetary penalties.
The following CFTC Division of Enforcement staff are responsible for the case: Grant Collins, John Dunfee, Paul Hayeck, and Joan Manley.
A copy of the CFTC complaint may be obtained at www.cftc.gov.
Media Enforcement Contact:
CFTC Division of Enforcement
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