February 20, 2014
CFTC Seeks to Revoke the Registrations of Abdul Sultan Walji and His Company, Arista LLC, Based on Court’s Permanent Injunction Order Prohibiting Them from Committing Fraud and on Walji’s Conviction for Criminal Commodities Fraud
Washington, DC – The U.S. Commodity Futures Trading Commission (CFTC) today filed a Notice of Intent (Notice) to revoke the registrations of Arista LLC (Arista), a registered Commodity Pool Operator with its principal place of business in Newport Coast, California, and its registered Associated Person, Abdul Sultan Walji (a/k/a Abdul Sultan Valji) of San Juan Capistrano, California.
The Notice alleges that Walji and Arista are subject to statutory disqualification from CFTC registration based on a consent Order for permanent injunction entered against them by the U.S. District Court for the Southern District of New York on December 3, 2013 (see CFTC News Release 6786-13). The Order found that Walji and Arista misappropriated investor funds, provided false quarterly statements to investors and false reports to the National Futures Association (NFA), and made misrepresentations to the CFTC. Among other sanctions, the Order permanently enjoined Walji and Arista from further violations of the anti-fraud provisions of the Commodity Exchange Act, as charged, and from trading or applying for registration. The Order also imposed restitution of more than $8.25 million on Walji and Arista, and civil monetary penalties of $6.45 million on Walji and $1.54 million on Arista.
In addition, the Notice alleges that Walji is subject to statutory disqualification from CFTC registration based on his conviction for criminal commodities fraud, among other offenses, in connection with these same activities, as entered by the U.S. District Court for the Southern District of New York on July 2, 2013. On November 15, 2013, the District Court sentenced Walji to 151 months in prison.
The CFTC thanks the NFA for its assistance.
CFTC Division of Enforcement staff members responsible for this case are Michael P. Geiser, Douglas K. Yatter, Philip D. Rix, Lenel Hickson, Jr., and Manal M. Sultan.
Last Updated: February 20, 2014