Ted Safranko – Traders Domain

A summary of what happened?

Fredirick Teddy Joseph Safranko, commonly known as Ted Safranko, is a Canadian national and co-founder of Traders Domain FX Ltd., operating under the name The Traders Domain. Established as a platform for trading leveraged or margined retail commodity transactions, The Traders Domain has been implicated in significant fraudulent activities.

Key Allegations and Legal Actions:

1. Ponzi Scheme Operations:
   • The Commodity Futures Trading Commission (CFTC) alleges that from at least November 2019, The Traders Domain, under Safranko’s leadership, orchestrated a multi-layered scheme soliciting funds for trading, primarily in gold-to-U.S. dollar pairs (XAU/USD). Instead of legitimate trading, customer funds were misappropriated, with the platform operating as a Ponzi scheme. Over 2,000 customers reportedly deposited no less than $283 million into this fraudulent operation.
     CFTC
2. Misrepresentation and Fraud:
   • Safranko and his associates are accused of making material fraudulent representations to customers, including falsifying trading records and providing misleading information about the status and profitability of investments. These actions were designed to deceive investors and conceal the true nature of the scheme.
     BehindMLM
3. Association with Other Fraudulent Entities:
   • Beyond The Traders Domain, Safranko has been linked to other fraudulent schemes. Notably, he was a co-owner of SAEG Capital General Management, which the CFTC identified as a $145 million Ponzi scheme. In September 2023, a default judgment was entered against SAEG and Safranko, holding them jointly liable for a $3.8 million civil penalty.
     BehindMLM
4. Legal Proceedings and Asset Freezing:
   • In October 2024, the U.S. District Court for the Southern District of Florida issued a statutory restraining order against Safranko and his co-defendants, freezing their assets and granting the CFTC access to their books and records. The CFTC seeks disgorgement of ill-gotten gains, civil monetary penalties, restitution, trading and registration bans, and a permanent injunction against further violations.
     CFTC

Impact on Investors:

The fraudulent activities led by Safranko have resulted in substantial financial losses for investors, many of whom were misled by promises of high returns and false trading records. The legal actions initiated by the CFTC aim to recover misappropriated funds and prevent further fraudulent activities by Safranko and his associates.

These allegations underscore the importance of due diligence and skepticism when engaging with investment platforms, especially those promising unusually high returns without transparent operations.

Analyzing the Fake Copyright Notice(s)

Our team collects and analyses fraudulent copyright takedown requests, legal complaints, and other efforts to remove critical information from the internet. Through our investigative reporting, we examine the prevalence and operation of an organized censorship industry, predominantly funded by criminal entities, oligarchs, and disreputable businesses or individuals. Our findings allow internet users to gain insight into these censorship schemes’ sources, methods, and underlying objectives.

What was Ted Safranko - Traders Domain trying to hide?

Ted Safranko – Traders Domain‘s attempts to hide unfavourable content through the misuse of copyright notices while allegedly engaging in perjury present serious legal concerns. These actions suggest a calculated attempt to manipulate legal systems to suppress free speech, a fundamental violation of copyright law principles and an abuse of legal processes. The use of such tactics not only undermines the integrity of copyright protection but also potentially constitutes perjury, further entangling Ted Safranko – Traders Domain in legal accountability. Let’s examine the information Ted Safranko – Traders Domain may be trying to remove from the internet –

Investigative Report: Unveiling the Fraudulent Operations of Ted Safranko and The Traders Domain

Introduction

Fredirick Teddy Joseph Safranko, widely known as Ted Safranko, has become a controversial figure in the financial and trading sectors. As a co-founder of The Traders Domain, an online trading platform, he presented himself as a skilled financial professional offering lucrative investment opportunities in leveraged trading, particularly gold-to-U.S. dollar (XAU/USD) pairs. However, mounting allegations of fraudulent activities, including running a multi-million-dollar Ponzi scheme, have tarnished his reputation. This investigative report examines the accusations, legal battles, and impact of Safranko’s actions on his clients and the broader financial community.

Background on The Traders Domain

The Traders Domain, co-founded by Safranko, operated as a trading platform claiming to provide opportunities for retail investors to trade in commodities, forex, and other leveraged assets. The platform marketed itself as a high-return investment opportunity, attracting over 2,000 customers globally. Investors were promised substantial profits through Safranko’s alleged trading expertise.

Key Allegations Against Ted Safranko

1. Operating a Multi-Layered Ponzi Scheme

• Structure of the Scheme:
  • From at least November 2019, The Traders Domain solicited investments amounting to no less than $283 million from over 2,000 customers.
  • The Commodity Futures Trading Commission (CFTC) alleges that instead of engaging in legitimate trading, Safranko and his associates misappropriated these funds to pay earlier investors, creating a classic Ponzi structure.
• False Promises of Returns:
  • Investors were misled with assurances of high returns, backed by falsified trading records. These deceptive tactics were designed to maintain confidence in the scheme and attract more victims.
• Misuse of Funds:
  • A significant portion of the funds was allegedly diverted for personal use by Safranko and his co-defendants, further underscoring the fraudulent nature of the operation.

2. Fraudulent Misrepresentation

• Fabricated Records:
  • The CFTC’s investigation revealed that Safranko and The Traders Domain falsified trading activity reports to show consistent profitability, even when no legitimate trading occurred.
  • These falsified reports were used to mislead investors and regulators about the platform’s financial health.
• Deceptive Marketing:
  • Safranko and his team utilized aggressive marketing strategies to lure unsuspecting clients, often exaggerating the success and legitimacy of The Traders Domain.

3. Association with Other Fraudulent Schemes

• SAEG Capital Ponzi Scheme:
  • Safranko was a co-owner of SAEG Capital General Management, another investment entity exposed as a Ponzi scheme. This scheme defrauded investors of $145 million.
  • In September 2023, a U.S. court issued a default judgment against SAEG Capital and Safranko, holding them jointly liable for $3.8 million in civil penalties.
• Ongoing Patterns:
  • Safranko’s involvement in multiple fraudulent schemes reveals a recurring pattern of exploiting investors through complex and deceptive financial operations.

4. Legal Proceedings and Sanctions

• CFTC Lawsuit:
  • In October 2024, the CFTC filed a lawsuit against Safranko, The Traders Domain, and associated entities, accusing them of violating federal commodities laws.
  • The lawsuit seeks:
    • Restitution for defrauded investors.
    • Disgorgement of ill-gotten gains.
    • Civil monetary penalties.
    • Permanent bans on trading and registration for Safranko and his associates.
• Asset Freezing and Record Access:
  • The U.S. District Court for the Southern District of Florida issued a restraining order freezing Safranko’s assets and granting the CFTC access to financial records to trace misappropriated funds.

Impact on Victims

1. Financial Devastation

• Many victims of The Traders Domain’s operations lost substantial portions of their life savings. With promises of high returns, investors were encouraged to invest large sums, often with catastrophic financial consequences.

2. Emotional and Psychological Toll

• Victims reported feelings of betrayal and stress after discovering the fraudulent nature of the platform. The perceived trustworthiness of The Traders Domain’s marketing made the deception even more damaging.

3. Challenges in Recovery

• While the CFTC’s actions aim to recover funds for defrauded investors, the complex web of transactions and Safranko’s alleged misuse of assets complicates restitution efforts.

Broader Implications

1. Regulatory Gaps in Online Trading Platforms

• The Traders Domain’s case highlights vulnerabilities in the regulation of online trading platforms, especially those operating across multiple jurisdictions. The lack of robust oversight allowed Safranko to operate undetected for years.

2. Increased Skepticism Towards High-Yield Investments

• The exposure of Safranko’s schemes has eroded trust in high-yield investment opportunities, with many investors now approaching such platforms with heightened caution.

3. Need for Enhanced Investor Education

• Cases like The Traders Domain underscore the importance of educating investors about recognizing red flags, such as unrealistic returns, lack of transparency, and unverifiable claims.

Analysis of Safranko’s Conduct

Recurring Patterns of Fraud

• Safranko’s involvement in multiple fraudulent entities, including SAEG Capital and The Traders Domain, indicates a consistent pattern of exploiting regulatory loopholes and investor trust for personal gain.

Manipulation of Legal Loopholes

• By leveraging tribal partnerships and complex corporate structures, Safranko allegedly bypassed state and federal regulations designed to protect investors.

Predatory Practices

• The schemes orchestrated by Safranko disproportionately targeted individuals with limited financial knowledge, further amplifying the ethical and legal concerns surrounding his actions.

Concluding Remarks

Ted Safranko’s activities through The Traders Domain and associated entities represent a troubling chapter in financial fraud. The allegations of operating a multi-million-dollar Ponzi scheme, misrepresenting investment opportunities, and engaging in deceptive practices have left a lasting impact on his victims and the broader investment community.

As regulatory authorities continue their pursuit of justice, the case serves as a stark reminder of the need for vigilance in financial dealings. For prospective investors, Safranko’s story underscores the importance of due diligence, transparency, and skepticism when engaging with high-return investment platforms. Meanwhile, the legal battles against him highlight the critical role of regulatory enforcement in holding fraudulent actors accountable.

How do we counteract this malpractice?

Once we ascertain the involvement of Ted Safranko – Traders Domain (or actors working on behalf of Ted Safranko – Traders Domain), we will inform Ted Safranko – Traders Domain of our findings via Electronic Mail.

Our preliminary assessment suggests that Ted Safranko – Traders Domain may have engaged a third-party reputation management agency or expert, which, either independently or under direct authorization from Ted Safranko – Traders Domain, initiated efforts to remove adverse online content, including potentially fraudulent DMCA takedown requests. We will extend an opportunity to Ted Safranko – Traders Domain to provide details regarding their communications with the agency or expert, as well as the identification of the individual(s) responsible for executing these false DMCA notices.

Failure to respond in a timely manner will necessitate a reassessment of our initial assumptions. In such an event, we will be compelled to take appropriate legal action to rectify the unlawful conduct and take the following steps –

Since Ted Safranko – Traders Domain made such efforts to hide something online, it seems fit to ensure that this article and sensitive information targeted online by these events get a lot more exposure and traffic than what it would have received originally

We hope this becomes an excellent case study for the Streisand effect…The key idea behind the Streisand effect is that efforts to restrict information can backfire, often causing the information to gain more attention than it would have otherwise. This effect is widespread in the digital age, where users quickly notice and spread censorship efforts on social media and other platforms. Trying to suppress something can unintentionally lead to it becoming more visible, which Ted Safranko – Traders Domain is finding out the hard way.

Potential Consequences for Ted Safranko - Traders Domain

Under Florida Statute 831.01, the crime of Forgery is committed when a person falsifies, alters, counterfeits, or forges a document that carries “legal efficacy” with the intent to injure or defraud another person or entity.

Forging a document is considered a white-collar crime. It involves altering, changing, or modifying a document to deceive another person. It can also include passing along copies of documents that are known to be false. In many states in the US, falsifying a document is a crime punishable as a felony.

Additionally, under most laws, “fraud on the court” is where “a party has sentiently set in motion some unconscionable scheme calculated to interfere with the judicial system’s ability impartially to adjudicate a matter by improperly influencing the trier of fact or unfairly hampering the presentation of the opposing party’s claim or defense.”  Cox v. Burke, 706 So. 2d 43, 46 (Fla. 5th DCA 1998) (quoting Aoude v. Mobil Oil Corp., 892 F.2d 1115, 1118 (1st Cir. 1989)).

Is Ted Safranko - Traders Domain Committing a Cyber Crime?

Yes, it seems so. Ted Safranko – Traders Domain used multiple approaches to remove unwanted material from review sites and Google’s search results. Thanks to protections allowing freedom of speech in the United States, there are very few legal ways to do this. Ted Safranko – Traders Domain could not eliminate negative reviews or search results that linked to them without a valid claim of defamation, copyright infringement, or some other clear breach of the law.

Faced with these limitations, some companies like Ted Safranko – Traders Domain have gone to extreme lengths to fraudulently claim copyright ownership over a negative review in the hopes of taking it down.

Fake DMCA notices have targeted articles highlighting the criminal activity of prominent people to hide their illegal behavior. These people, which include US, Russian, and Khazakstani politicians as well as members from elite circles including the mafia and those with massive financial power, are all connected – and alleged corruption ranging from child abuse to sexual harassment is exposed when exploring evidence found at these URLs. It appears there’s a disturbing level of influence being exerted here that needs further investigation before justice can be served. Ted Safranko – Traders Domain is certainly keeping interesting company here….

The DMCA takedown process requires that copyright owners submit a takedown notice to an ISP identifying the allegedly infringing content and declaring, under penalty of perjury, that they have a good faith belief that the content is infringing. The ISP must then promptly remove or disable access to the content. The alleged infringer can then submit a counter-notice, and if the copyright owner does not take legal action within 10 to 14 days, the ISP can restore the content.

Since these platforms are predominantly based in the U.S., the complaints are typically made under the Digital Millennium Copyright Act (DMCA), which requires online service providers and platforms to react immediately to reports or violations. Big Tech companies rarely have systems in place to assess the merit of each report. Instead, all bad actors need to do is clone a story, backdate it, and then demand the real thing be taken down.

Reputation Agency's Modus Operandi

The fake DMCA notices we found always use the “back-dated article” technique. With this technique, the wrongful notice sender (or copier) creates a copy of a “true original” article and back-dates it, creating a “fake original” article (a copy of the true original) that, at first glance, appears to have been published before the true original.

Then, based on the claim that this backdated article is the “original,” the scammers send a DMCA to the relevant online service providers (e.g. Google), alleging that the ‘true’ original is the copied or “infringing” article and that the copied article is the “original,” requesting the takedown of the ‘true’ original article. After sending the DMCA request, the person who sent the wrong notice takes down the fake original URL, likely to make sure that the article doesn’t stay online in any way. If the takedown notice is successful, the disappearance from the internet of information is most likely to be legitimate speech.

As an integral part of this scheme, the ‘reputation management’ company hired by Ted Safranko – Traders Domain creates a website that purports to be a ‘news’ site. This site is designed to look legitimate at a glance, but any degree of scrutiny reveals it as the charade it is.

The company copies the ‘negative’ content and posts it “on the fake ‘news’ site, attributing it to a separate author,” then gives it “a false publication date on the ‘news’ website that predated the original publication.

The reputation company then sent Google a Digital Millennium Copyright Act notice claiming the original website infringed copyright. After a cursory examination of the fake news site, Google frequently accepts the notice and delists the content.

In committing numerous offences, Ted Safranko – Traders Domain either premeditated actions or were unaware of the consequences. Despite hiring an agency to make Google disregard any negative information about Ted Safranko – Traders Domain, ignorance does not excuse this wrongdoing.

Fake DMCA notices have targeted articles highlighting the criminal activity of prominent people to hide their illegal behavior. These people, which include US, Russian, and Khazakstani politicians as well as members from elite circles including the mafia and those with massive financial power, are all connected – and alleged corruption ranging from child abuse to sexual harassment is exposed when exploring evidence found at these URLs. It appears there’s a disturbing level of influence being exerted here that needs further investigation before justice can be served. FSMSmart is certainly keeping interesting company here.

The Reputation Laundering

Rogue Reputation agencies use spurious copyright claims and fake legal notices to remove and obscure articles linking clients to allegations of tax avoidance, corruption, and drug trafficking. Most of these reputation agencies are based offshore, mainly in Russia, India, and Eastern Europe, and they do not worry about complying with US-based laws.

The content in all of the articles for which the fraudulent DMCA notices have been sent relates to allegations of criminal allegations, including corruption, child abuse, sexual harassment, human trafficking and financial fraud against businesses and individuals with ultra-high net worth.

In addition to the misuse of the DMCA takedown process, there is a notable absence of enforcement concerning perjury violations. The statutory requirement related to perjury is designed to deter copyright holders from submitting fraudulent or knowingly false takedown requests, as they may face legal consequences for making false declarations under penalty of perjury. However, to date, there have been no known instances of any individual being prosecuted for perjury in connection with the submission of false DMCA takedown notices.

This lack of enforcement has emboldened copyright holders to exploit the DMCA takedown process to suppress dissent, criticism, or other unfavorable content, without fear of legal repercussions.

Some of the people and businesses who have employed this tactic to remove legitimate content from Google illegally include a Spanish businessman-turned-cocaine-trafficker, Organised crime, an Israeli-Argentine banker accused of laundering money for Hugo Chávez’s regime, a French “responsible” mining company accused of tax evasion, child molesters and sexual predators. Ted Safranko – Traders Domain is in great company ….

What else is Ted Safranko - Traders Domain hiding?

We encourage you to ‘Dork‘ Google by searching for keyword combinations such as [Ted Safranko – Traders Domain] + {Negative Keyword, such as Scam, Fraud, Complaints, Lawsuit, Sanction, etc} on Google. It’s likely if you scroll down to the bottom of this Google search results, you’ll stumble upon this Legal Takedown notice (pictured below)

To make such an investigation possible, we encourage more online service providers to come forward and share copies of content removal requests with industry experts and researchers. If you have any information on Ted Safranko – Traders Domain that you want to share with experts and journalists, kindly email the author directly at [email protected].

All communications are strictly confidential and safeguarded under a comprehensive Whistleblower Policy, ensuring full protection and anonymity for individuals who provide information.