For Release: December 4, 2003
To view Krysinski complaint, click here.
To view Krysinski order, click here.
U.S. COMMODITY FUTURES TRADING COMMISSION CHARGES CHICAGO BROKER KEITH W. KRYSINSKI WITH FRAUD ON COMMODITY FUTURES CUSTOMERS
CFTC Alleges Defendant Misappropriated Certain Customer Funds and Created a False Statement To Conceal the Fraud; Federal Court Issues Order Freezing Defendant’s Assets
WASHINGTON, D.C.- The U.S. Commodity Futures Trading Commission (CFTC) announced today the filing of an enforcement action on November 26, 2003, in federal court against Keith W. Krysinski of Chicago, Illinois, a registered floor broker and former Chicago Mercantile Exchange member. The CFTC's action charges Krysinski with fraudulently soliciting more than $400,000 in customer funds, purportedly to trade futures through the broker’s personal account, misappropriating a portion of those funds, and creating a false statement to cover up the fraud [CFTC v. Keith Wilson Krysinski, 03C 8571].
Also on November 26, 2003, the Honorable Amy J. St. Eve of the United States District Court for the Northern District of Illinois issued an order freezing the assets of the defendant and prohibiting the destruction of books and records. Judge St. Eve also set the matter for hearing on the CFTC’s motion for preliminary injunction on December 8, 2003.
The CFTC complaint specifically charges that, since at least May 2002, Krysinski has solicited and accepted at least $406,000 in customer funds without being registered as a futures commission merchant (FCM), and wrongfully commingled customer funds with funds of his own. The complaint also alleges that Krysinski misappropriated at least $68,000 of these funds and created at least one false statement to conceal his fraud.
In its ongoing litigation, the CFTC is seeking preliminary and permanent injunctive relief, repayment of ill-gotten gains and customer losses, and monetary penalties.
The following Division of Enforcement staff members are responsible for this case: Jennifer S. Diamond, Elizabeth M. Streit, Hugh Rooney, Rosemary Hollinger, Cynthia Cannon, and Anne Smith.
Media Enforcement Contact:
Associate Director/Chicago Regional Counsel
CFTC Division of Enforcement