Hong Kong investors
A number of Hong Kong investors were misled by Filho into investing in DFRF, believing his claim that DFRF was to be listed in the US, which was not the case.
The investors deposited money into various bank accounts in Hong Kong, including approximately HK$2.7m (£275,821, $342,517, €317,632) in accounts held in Valdes’ name.
Neither Filho nor DFRF hold SFC licences allowing them to deal in or advise on securities.
Connected firm
As part of the proceedings, the SFC obtained an interim freezing order on 13 December 2016 against Sealand Trading (Hong Kong) Limited (Sealand Trading) which the SFC alleges also received investors’ monies under the scheme.
The interim orders will remain in force until the hearing of the SFC’s application for final orders against all parties, the date of which has yet to be fixed.
The SFC’s investigation is still ongoing.
