A federal court in Texas has ordered Walter Dunning Larrick III and Cambridge Financial Advisors LLC to pay US$13,023,500 in a commodities-fraud case, the CFTC announced on 3 November. The default judgment comprises a US$9,767,625 civil monetary penalty and US$3,255,875 in restitution.[1]
According to the CFTC's 3 November announcement, the court found that the defendants misrepresented their ability and intention to trade commodity futures and options linked to natural gas, oil and gold. The court also found false profitability representations and account statements, and misappropriation exceeding $3 million. The Commission said participant money was used for payments to other participants, personal spending and transfers to offshore accounts in Costa Rica.[1]
The CFTC said the judgment resolves the claims in its 2023 civil complaint. It also imposes permanent trading and registration bans and an injunction against further violations of the provisions addressed in the order.[1]
Relief ordered by the court
Restitution and the civil penalty serve different purposes. The US$3,255,875 restitution order directs repayment, while the US$9,767,625 penalty is a sanction. The announcement does not establish how much has been collected or distributed to participants.[1]
Civil judgment in figures
| Item | Details |
|---|---|
| Civil monetary penalty | $9,767,625 |
| Restitution ordered | $3,255,875 |
| Total ordered | $13,023,500 |
| Misappropriation found | More than $3m |
| Proceeding | Federal civil default judgment |
| Permanent restrictions | Trading and registration bans |
| Money recovered | Not established by the release |
Sources & further reading
- CFTC Secures Court Order Directing Texas Man and His Company to Pay Over $13 Million in Commodities Fraud Commodity Futures Trading Commission · 3 Nov 2026 · Accessed 4 Nov 2026