Release: 4817-03 (CV-1107-CAP)
For Release: July 10, 2003

GEORGIA FEDERAL COURT ORDERS INFINITE TRADING GROUP, LLC DEFENDANTS TO REPAY DEFRAUDED INVESTORS NEARLY $220,000 IN U.S. COMMODITY FUTURES TRADING COMMISSION ENFORCEMENT ACTION

Shawn Christie and Edward Lindsey Also Required to Pay $480,000 In Civil Penalties

WASHINGTON, D.C. - The U.S. Commodity Futures Trading Commission (CFTC) announced today that a Georgia federal district court entered orders of permanent injunction and final judgment in the CFTC's favor requiring defendants Shawn Christie and Edward Cameron Lindsey to repay defrauded investors and to pay a civil monetary penalty as a result of their violations of federal commodity laws.

The court's order and final judgment stem from a complaint filed by the CFTC against Infinite Trading Group, L.L.C. (ITG), Christie, Lindsey, and Anthony Garcia in the United States District Court for the Northern District of Georgia on April 30, 2001 (see CFTC News Release 4513-01, May 2, 2001). The court had entered an order of default judgment against ITG and Garcia on March 27, 2003.

The order found that Christie and Lindsey defrauded ITG investors by:

• soliciting customers to trade options on foreign currency (forex) contracts using high-pressure sales tactics and exaggerating the profit potential of such investments; and
• misappropriating at least $219,250 of customer funds for the personal expenses of Christie and Lindsey in the manner of a Ponzi scheme. The court also found that ITG customer funds were never used to purchase forex options.

In addition to permanently enjoining them from further fraudulent conduct and violations of the Commodity Exchange Act, the order requires Christie and Lindsey to repay injured customers $219,250, and to pay a civil penalty of $480,000. The order further requires Christie and Lindsey to disgorge all ill-gotten gains, requiring Christie to pay $186,432 and Lindsey to pay $36,904, and also imposes on them a permanent trading ban and an obligation to pay the CFTC's costs and fees of litigation.

This litigation was part of a coordinated cooperative enforcement effort with the Fulton County District Attorney's Office, which filed a criminal action against Christie and Lindsey for violations of the telemarketing laws arising out of the same underlying facts. The United States Attorney's Office for the Northern District of Georgia provided valuable assistance to the CFTC in its investigation and litigation of this case.

The following CFTC Division of Enforcement staff were responsible for this case: Beth Morgenstern, Sheila L. Marhamati, Judith Slowly, Michael McLaughlin, Lenel Hickson, Stephen J. Obie, and Vince McGonagle.

Media Enforcement Contact:
Stephen J. Obie, CFTC Eastern Regional Office
Associate Director and Regional Counsel
(646) 746-9766

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