For Release: September 20, 2007
U.S. Commodity Futures Trading Commission Files Action in Florida Federal Court Against Tampa Resident Edward J. Evors Alleging Misappropriation of Customer Funds
Washington, DC – The U.S. Commodity Futures Trading Commission (CFTC) announced the filing of a complaint on September 17, 2007, in the U.S. District Court for the Middle District of Florida against Edward J. Evors of Tampa, Florida, and two Nevada companies controlled by him: Bally Lines Ltd. (Bally Lines) and GPS Fund, Ltd. (GPS). (CFTC v. Evors, et al., No. 078-CV-01658.)
Federal District Judge Richard A. Lazzara on September 18 issued a statutory restraining order freezing Evors’ assets and prohibiting Evors from destroying documents. Judge Lazzara also set a hearing for October 5, 2007, on the CFTC’s motion for a preliminary injunction against the defendants.
The CFTC’s complaint alleges that Evors solicited and received at least $450,000 from members of the general public to invest with Tech Traders, Inc., of North Carolina to trade commodity futures contracts. However, as alleged, instead of investing the customer funds with Tech Traders, Evors purportedly spent the funds for his personal use, and attempted to conceal his misappropriation by sending customers false account statements that misrepresented the nature of their investment.
Evors Induced Customers to Invest in a Defunct Company Sanctioned for Commodity Pool Fraud by a New Jersey Federal Court
Tech Traders, along with other companies and individuals, is a subject of an ongoing CFTC action in which it and other defendants have been ordered by the U.S. District Court of New Jersey to pay over $30 million in sanctions (see CFTC Press Release 5357-07, July 23, 2007). The CFTC’s complaint against Evors alleges that he solicited funds for investment with Tech Traders as many as 12 months after Tech Traders had ceased doing business.
Bally Lines and GPS Named as Relief Defendants in the Complaint
The complaint names Bally Lines and GPS as relief defendants in that Evors allegedly instructed customers to send their funds to Bally Lines and GPS for investment with Tech Traders. However, none of the funds were ever invested with Tech Traders. As alleged, neither Bally Lines nor GPS provided services or has any legitimate claims to any customer funds.
The CFTC, in its continuing litigation, seeks, among other sanctions, an order prohibiting Evors from engaging in any commodity-related trading activity, requiring him to pay restitution to customers and a civil monetary penalty, and requiring both Evors and the relief defendants to disgorge all benefits received.
The following CFTC Division of Enforcement staff members are responsible for this matter: Elizabeth R. Streit, David A. Terrell, Joy H. McCormack, Scott R. Williamson, Rosemary Hollinger, and Richard Wagner.
Last Updated: September 20, 2007