The CFTC has commenced Hague Convention service against EmpiresX fraudsters Emerson Pires and Flavio Goncalves.
The EmpiresX Ponzi scheme was co-founded by Pires and Goncalves. Pires and Goncalves fled to Brazil upon realizing they were under investigation by U.S. officials.
The CFTC furnished the court with a Status Report on Pires and Goncalves’ service on August 9. Two of the defendants, Pires and Goncalves, are currently stationed outside the United States, in Brazil, as far as the CFTC is aware.
The CFTC has initiated service of process for Defendants Emerson Pires and Flavio Goncalves pursuant to the Hague Convention on the Service Abroad of Judicial and Extrajudicial Documents in Civil or Commercial Matters (“Hague Convention”).
The CFTC secured certified Portuguese translations of the complaint, civil cover sheet, and summons on August 5, 2022, as required by the Hague Convention.
The CFTC provided all documents required for service under the Hague Convention to the Brazilian Central Authority, Department of Assets Recovery and International Legal Cooperation, on August 9, 2022.
According to the Central Authority, Hague Convention document service might take between 9 and 18 months.
Joshua Nicholas and Empires Consulting Corp., the two additional defendants in the CFTC’s action, have already been served.
The US Secret Service on con artists who fled to Brazil has proven challenging for US officials. The CFTC disclosed earlier this month that it had commenced Hague Convention service against Johannes Steynberg.
Steinberg was the CEO of Mirror Trading International, a $1.7 billion Ponzi fraud. Steynberg, unlike Pires and Goncalves, is not a Brazilian citizen.
Parallel civil fraud procedures have been filed by the SEC against Pires and Goncalves. Additionally, they have been indicted on criminal fraud allegations.