June 16, 2024

Darren Robinson manipulated 38 individuals into losing $7,196,365.37 via a Forex Ponzi scheme. He is currently dodging the arm of U.S. law enforcement.

The U.S. District Court for the Eastern District of Michigan has decreed a permanent injunction and a default judgment against both Darren Robinson and his company, The QYU Holdings Inc. (QYUHI). This prevents them from partaking in any CFTC-regulated markets and from registering with the CFTC.

The defendants have been instructed to compensate $5,923,515.37 to the defrauded victims and to pay the same amount as a civil monetary penalty, pertaining to an unlawful foreign currency scheme.

Darren Robinson Duped 38 Individuals Out of $7,196,365.37

As per the order, Robinson and QYUHI perpetrated a multimillion-dollar fraudulent operation that involved collecting $7,196,365.37 from 38 naive individuals. They were invited to engage in a commodity pool run by QYUHI for trading in commodity interests. This included forex pairs on a leveraged, margined, or financed basis with participants who were not eligible contract participants (retail forex) and forex futures contracts.

Mirroring a typical Ponzi scheme, Robinson squandered all the funds collected from the participants by depositing them directly into QYUHI’s business bank account that he controlled. The funds were utilized for meeting Robinson’s personal expenditures, ranging from luxury cruises, flight tickets, high-end vehicle purchases, real estate acquisitions to credit card payments and other mundane living expenses. Around $1,272,850 from the funds of later participants were utilized to pay off the supposed “profits” and/or “redemptions” of the earlier participants.

Presently, Darren Robinson is a fugitive from U.S. law enforcement, with a pending arrest warrant yet to be served.

Robinson’s QYU Allegedly Claimed $100k Could Escalate into $2 million within 6 – 8 Years

Court files reveal that Robinson was running an alleged trading firm named “QYU,” claiming its existence in Panama and the Cayman Islands. QYU touted to investors about consistently generating remarkable investment returns.

For instance, one QYU document boasted that an investment of $100,000 in its fund, made in 2014, would have soared over $2 million by 2021. This very document also claimed the firm’s record of not experiencing a losing month throughout that period. QYU investors were given a guarantee on returns and were reassured that the firm earned its money only on trading profits, not from investor’s capital.

The accused could face jail time of up to twenty years for each charge of wire fraud, and up to ten years for the charge of money laundering.