On April 7, 2017, Pedro Jaramillo pled guilty in the Southern District of New York to one count of commodities fraud and one count of wire fraud in connection with a scheme to defraud more than two dozen investors, mostly from Latin American countries including Peru, of more than $1.2 million dollars.  According to court documents, between January 2014 and December 2016, Jaramillo solicited investments from investors, representing that investor monies would be invested in short-term commodities contracts with a guaranteed rate of return.  Jaramillo touted his prior success and his relationship with a global investment bank, and in a video published on YouTube stated that prospective investors’ money would be managed in federally insured accounts that would “be protected against fraud and brokerage failure.”  In reality, Jaramillo did not create accounts for individual investors and did not use investor funds to make any legitimate investments.  Rather, he diverted the majority of the invested money to his own use, out of the country, or to repayments made to earlier investors.  In total, Jaramillo diverted more than $100,000 to foreign bank accounts and more than $200,000 back to investors.  United States v. Jaramillo, 17-cr-00004 (S.D.N.Y.). DOJ press release