Commodities Trader Pleads Guilty to Wire Fraud in Unregistered Investment Scheme

Brian Mitchell admitted to running a fraudulent commodity futures trading scheme through Young Pros Investment Group, defrauding investors and violating a prior CFTC ban.

Commodities Trader Pleads Guilty to Wire Fraud in Unregistered Investment Scheme

A commodities trader previously sanctioned by U.S. regulators has admitted guilt in a criminal case involving an investment club that allegedly defrauded multiple investors.

Brian Mitchell entered a guilty plea to one count of wire fraud, acknowledging that he misled investors as part of an unregistered commodity futures trading operation. Court documents show he operated the scheme through Young Pros Investment Group alongside Kevin Mack Jr.

The Commodity Futures Trading Commission (CFTC) filed a civil complaint in November against Mitchell, Mack, and their firm. The regulator alleged that between December 2020 and May 2022, the defendants deceived investors into pouring money into the unregistered trading program. To sustain the operation, they allegedly distributed fabricated account statements to participants and used funds from newer investors to pay purported returns to earlier ones.

The CFTC also charged Mitchell with violating a 2021 enforcement order that had barred him from trading for three years. That prior sanction stemmed from his provision of trading advice without proper registration.

Federal prosecutors stated that Mitchell continued soliciting and accepting third-party investment funds for commodity futures transactions even after the ban took effect, all while concealing his prohibited status from investors.

As part of his plea agreement, Mitchell consented to pay US$2.7 million in restitution to victims of the scheme. He is scheduled to be sentenced on October 7 in federal court.

Separately, in 2025, Maryland securities authorities brought disciplinary proceedings against Mitchell, Mack, and Young Pros. The state division of securities concluded that the trio had sold unregistered securities, made material misrepresentations to investors, and conducted trading activities without required licenses. The Maryland attorney general's office issued a final order permanently barring them from the securities industry and imposing a US$650,000 penalty.

Source : Finance et Investissement

Source: Google News MA — Crime (fr)