Philip Leon, Paul Rangel Sanctioned for Fraud and Misappropriation
Philip Leon of Altamonte Springs, Florida, and Paul Rangel of Apopka, Florida, were ordered to pay more than $8 million in sanctions for commodity pool fraud and misappropriation. Leon pleaded gilty to mail and wire fraud.
Both Leon and Rangel were permamently barred from trading and committing further violations of the Commodity Exchange Act and a CFTC Regulation. The two investment professionals also had their professional registrations terminated.
Philip Leon and Paul Rangel, in concert with John G. Wilkins and their company, Altamont Global Partners LLC, were named defendants in a complaint filed by the CFTC according to CFTC Press Release 6315-12.
From about March 2009 to at least June 22, 2012, Leon and Rangel operated a fraud scheme soliciting at least $18 million from approximately 241 commodity pool participants to trade, among others, commodity futures contracts, options on futures, and off-exchange foreign currency contracts, according to the Orders.
Leon and Rangel misappropriated a combined total of more than $2.4 million of participants’ funds and made false statements regarding the profitability and value of the participants’ accounts. Leon misappropriated nearly $1.6 million and Rangel nearly $819,000 as “loans” and “advances” from the commodity pools in order to disguise their misappropriation, according to the Orders.
The Peiffer Wolf securities attorneys often represent investors who lose money as a result of Ponzi schemes, investment fraud, or stockbroker misconduct. They are currently investigating the possibility of assisting investors with the recovery of their losses. They take most cases of this type on a contingency fee basis and advance the case costs, and only get paid for their fees and costs out of money they recover for their clients.
Investors who believe they lost money as a result of investment fraud or misconduct may contact the securities lawyers at Peiffer Wolf, Jason Kane or Joe Peiffer, for a free, no obligation evaluation of their recovery options, at 585-310-5140.