Mars FX Draws Probes Over Missing $600 Million
Mars FX, a hedge fund run by David Choi, is facing lawsuits in three countries and investigations by the FBI, a Manhattan grand jury, the SEC, the CFTC, the UK's Financial Conduct Authority and British Virgin Islands regulators over claims that roughly $600 million invested across its funds is missing. The fund had reported 19% annual returns with no losing months and had collected $331 million in its US fund alone by February 2024.
Investors were told by Novus, the firm managing the money, that their cash would be sent to an unnamed British Virgin Islands technology partner that handled trading. That partner, later identified as TRFX, said its platform had stopped operating in 2022 even as Mars FX continued raising money in 2023 and 2024. A lawsuit against Deloitte alleges the auditor issued clean opinions without independently verifying the assets existed; 2024 offering documents showed the technology partner was neither a licensed broker nor a regulated custodian.
From the sources (1 posts)
@bulltheoryio🚨 $600 MILLION IS MISSING FROM A HEDGE FUND AND NOBODY KNOWS WHERE IT WENT. This is not the first time an auditor missed a fraud and they are already proposing even easier rules. David Choi ran a hedge fund called Mars FX. Wharton graduat