The Commodity Futures Trading Commission (CFTC) filed a civil complaint against the founder and chief executive officer of a carbon credit company who also was a defendant in a <a href="https://climatecasechart.com/case/united-states-v-newcombe/">criminal prosecution</a> alleging that he participated in a scheme to defraud carbon credit markets. The civil complaint asserted that the defendant violated the Commodity Exchange Act and CFTC regulations by engaging in fraud in connection with contracts of sale of voluntary carbon credits. The allegedly fraudulent conduct included reporting false, misleading, or inaccurate information to a carbon credit registry, validation and verification bodies, and others, including data regarding energy saved and emissions reductions achieved by offset projects. The CFTC sought injunctive relief, disgorgement, restitution, and civil penalties.

Civil enforcement action against carbon credit company executive for allegedly engaging in fraud in connection with contracts of sale of voluntary carbon credits.

Commodity Futures Trading Commission v. Newcombe

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CFTC Filed Civil Enforcement Action Against Carbon Credit Company Executive

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An aim to achieve a quantifiable outcome within a given time-frame, set by an institution such as a national government.

Policy instruments are techniques or tools used by governing authorities to promote certain policies in order to achieve predetermined goals. Put simply, instruments are how a government tries to achieve its goals, with this taxonomy being focused on national policy instruments.

Risk is the potential for adverse consequences resulting from the dynamic interplay between (climate-related) hazards, exposure, and vulnerability of affected human or ecological systems.

Groups  of people who are adversely affected by climate change or the response to it

A set of principles, processes, and practices that build economic and political power to shift from an extractive economy to a regenerative economy.

Justice is the ethical and political framework that addresses fairness, including issues of responsibility, rights, and structural inequity.

Renewable energy means all forms of energy produced from renewable sources in a sustainable manner.

Fossil fuel is a generic term for non-renewable energy sources such as coal, fossil gas, and oil (including crude oil, and petroleum products), that can be used for electricity and heat generation. Fossil fuels are hydrocarbons formed from pressurised and heated organic material buried over millions of years.

Molecules in the atmosphere that play a key role in the greenhouse effect by trapping heat radiating from Earth’s surface.

Area of the economy in which actors engage in identical or related activities.

In human systems, the process of adjustment to actual or expected climate change and its effects, in order to moderate harm, increase resilience or exploit beneficial opportunities. In natural systems, the process of adjustment to actual climate change and its effects; human intervention may facilitate adjustment to expected climate change and its effects.

The management and allocation of funds, assets and investments to meet various objectives

A loan is a policy instrument where funds are provided to a borrower with the expectation of repaying the principal plus interest.

Tradable permits are market-based tools that grant permission for specific activities, frequently used to regulate emissions. These permits can be issued within a trading system to manage environmental impacts.

Either money or something of monetary value is transferred between two or more organisations, people or countries.

The release of heat-trapping gases, primarily from human activities such as burning fossil fuels, agriculture and industry.

A long-lived, colourless gas, chiefly emitted from fossil fuel combustion, deforestation and cement production.

Fossil gas, commonly known as natural gas, is a fossil fuel consisting chiefly of methane with smaller amounts of other hydrocarbons and trace gases, found in underground deposits.

This sector includes firms and individuals offering specialised expertise in fields such as law, accounting, consulting, science and engineering.

Activities of businesses and institutions that provide financial services and products to individuals and organisations.

CFTC Filed Civil Enforcement Action Against Carbon Credit Company Executive

Policy instrument

Fossil fuel

Greenhouse gas

Economic sector

Finance