- William Powderly fraudulently solicited customers and distributed false statements.
- Defendant claimed that he and a university professor developed a trading program.
- Said it generated hypothetical trading results, of gains without a single day of loss.
- Powderly took $1.2mn from 7 customer, sustained $1mn net loss over 10-months.
- False account statements created and distributed reporting profits and no losses.
- Powderly fined $1mn restitution to defrauded customers and permanent trade ban.