Situation
This case study profiles disbanded international corporate finance conglomerate Banc De Binary, Ltd. (BDB), two former executives of BDB, Peter Szatmari and David Sechovicz, (collectively referred to as the defendants), and the impact of their illegal business activities.
The defendants routinely flouted federal laws in the United States related to commodity trading and sales of securities. The Commodity and Futures Trading Commission (CFTC) filed a lawsuit against BDB, Szatmari and Sechoviz for misconduct. The defendants’ decisions led to the business failing and hefty civil monetary penalties for those executives.
The information in this case study comes from numerous sources: several CFTC press releases concerning the Szatmari case, one CFTC complaint against Szatmari, three CFTC press releases on the Banc De Binary case, and several newspaper articles on violations by BDB and Sechovitz.
