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

Filed

United States of America

New York

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CFTC Filed Civil Enforcement Action Against Carbon Credit Company Executive

Policy instrument

Fossil fuel

Greenhouse gas

Economic sector

Finance