CFTC Sues Aipu and Fidefx in $3.6 Million Fraud Scheme

The Commodity Futures Trading Commission (CFTC) has initiated legal action against Aipu and Fidefx, alongside individual defendants Qian Bai, Lan Bai, and Chao Li, accusing them of fraudulently soliciting and misappropriating at least $3.6 million from 32 customers. The lawsuit alleges that the defendants orchestrated a fraudulent investment scheme, misleading investors under the guise of trading in commodities.

According to the CFTCs complaint, Qian Bai and Lan Bai, acting as controlling individuals of Aipu, alongside Fidefx and Li, worked as a coordinated group in defrauding investors. The defendants are said to have solicited funds from customers in the form of fiat currency and digital assets, offering agreements or contracts for trading commodities on a leveraged or margined basis. These transactions were reportedly marketed as involving off-exchange retail foreign currency contracts or commodity futures contracts.

The scheme involved customers being encouraged to fund supposed “trading accounts” with Aipu or Fidefx through their respective websites, which were nearly identical in design but operated under different names. The defendants' solicitors contacted customers through popular communication platforms such as WeChat, WhatsApp, and Line. These solicitors falsely claimed to have insider knowledge that could yield returns of 10% to 30% per trade in leveraged retail transactions, retail forex, or futures contracts. As part of the pitch, customers were told that they would receive tailored trading advice to ensure profitable trades.

Once customers deposited funds into their “trading accounts,” they were given access to online account statements purportedly showing deposits and successful trades made on their behalf. However, these account statements were entirely fabricated. Neither Aipu nor Fidefx held U.S.-based trading accounts or conducted any trades for customers. Instead, the defendants misappropriated all assets provided by customers, transferring the funds to offshore entities that were unrelated to any legitimate commodity trading activities.

The complaint further alleges that throughout the fraudulent operation, the defendants collaborated with solicitors to collect fiat and digital assets from customers, instructing them to transfer the funds into bank accounts and digital wallets under their control. These accounts were not managed by any CFTC-registered futures commission merchant or retail foreign currency dealer, as required by law. Instead of utilizing the funds for legitimate trades, the defendants diverted the money to offshore accounts controlled by individuals outside of the U.S.

The CFTCs legal action aims to hold the defendants accountable for their fraudulent conduct and recover the misappropriated funds. The case underscores the need for consumers to exercise caution when engaging in online trading platforms, particularly those that claim high returns with minimal risk. The ongoing investigation will focus on ensuring restitution for the affected customers.