EminiFX, Inc. Receivership

EminiFX, Inc. Receivership

Case Number: 22-03822 (VEC)

Southern District of New York

User Portal Frequently Asked Questions (see below for General FAQs)
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What Is the Status of the User Portal?

The Receiver and his team launched a revised User Portal on October 30, 2024.  The revised User Portal—Portal 2.0—includes the Receiver’s determinations for each of the disputed transactions.  


Portal 2.0 allows users to submit their payment information and review the Receiver’s determinations and decide whether to accept the Receiver amount or object to that amount and provide additional information to resolve the dispute.   


We encourage everybody to visit the User Portal to determine the status of their transactions and, most importantly, provide payment information.
 

I am trying to reset my password but I did not receive a code to access the Portal. What can I do?

Please check your spam or junk folders. The code may be found there.  If an email with the code is not in either folder, please check your blocked email addresses and see if you have previously blocked emails from @stretto.com. If you have blocked emails you will need to unblock @stretto.com first before requesting a new code. When requesting a new code, or if you still encounter issues after following the instructions above, please contact Stretto at EminiFX@stretto.com.

I tried to merge my accounts, but it did not work. What can I do?

Please send an email to EminiFX@stretto.com identifying the accounts you sought to merge. We will review and get back to regarding this issue as promptly as possible.

How did the Receiver make determinations on transaction?

The Receiver and his team engaged in a thorough review of EminiFX’s books and records and compared that information to the transaction information provided by each User. Where the Receiver could not verify or validate the transaction information provided by the User or if the User did not provide any information, the Receiver disputed those transactions. For each disputed transaction on your transaction log, the basis for the dispute is listed.  A summary explaining the basis for each type of dispute and how it can be resolved can be found in the Updated Portal Instructions page on the Receiver’s website and found https://www.eminifxreceivership.com/updatedportalinstructions.

The Receiver disputed my transactions. What should I do?

First, you must respond on the portal to any disputed transaction by December 16, 2024.  If you do not respond by December 16, you will waive your right to object, and the Receiver’s amounts will be used to determine your claim

You can respond to disputes in two ways:

(1) You can agree to the Receiver’s determinations for all of your disputed transactions by hitting “Accept All” at the bottom of the Claim Status section.  What clicking this means is that you agree to use the numbers the Receiver was able to verify, and you are not going to object to any of  the listed disputes.  If you agree to accept all and click the button, you will get a final pop-up notice that asks you to confirm that you want to accept all of the Receiver’s recommendations. 

(2)  You can review each of the disputed transactions on your updated transaction log and either accept or dispute each transaction.  A disputed transaction will show as “Disputed,” and the reason for the dispute will appear under “Basis for Dispute.” 

The Receiver’s determination—that is, the amount the Receiver proposes for your transaction—is shown in the “Receiver Determination Amount” column.   

If you object to the Receiver’s determination, after selecting Dispute, you will need to provide a reason why you do not agree with the Receiver and upload any documentation in support of your position. Once submitted, the Receiver will consider your dispute and he or a member of his team may reach out to you to discuss and seek to resolve. 

What do I do if I continue to disagree with the Receiver’s resolution of a disputed, added, or unrecognized transaction?

The Receiver and his team will attempt to resolve certain disputed transactions consensually with each User, if possible.  The Receiver can resolve disputes that are about whether a transaction actually occurred, and may reach out to ask for more information.  The Receiver cannot resolve disputes where a User is seeking ROI, Bonuses, or another amount not allowed under the Claims Procedures and Proposed Plan.


If you do not agree with the Receiver’s determination with respect to any disputed transactions, the Receiver will file an objection with the Court pursuant to the Court-approved User Transaction Procedures.

 
You will be provided with notice of such objection and instructions for how to submit a response to the Court if you so choose.  In general, the Receiver will take steps to ensure that Users are not identified by name, user ID, or any other personally identifying information in the objection log or the responses thereto.

 

I already provided documents to the Receiver. Why is my transaction still disputed?

The documents that you may have provided were insufficient to verify your added transaction or your dispute.  Thing like a snapshot of your EminiFX dashboard or purchases of Bitcoin without documents showing that the Bitcoin was then deposited into EminiFX are insufficient to verify a transaction.  A summary explaining the basis for each type of dispute and how it can be resolved, including the type of document that will be most useful to resolve a particular dispute, can be found in the Updated Portal Instructions page on the Receiver’s website and found HERE

Why is there a discrepancy in what I put and the Receiver-determined amount?

The Receiver considers all the transaction information provided by Users and compares it to the books and records of EminiFX. Where a discrepancy is found and/or if the information provided by the User is not sufficient to verify or validate that the transaction took place, the Receiver is obligated to object to those transactions.  


The amount of each transaction, as reflected in the Transaction Log, may differ slightly from the amount that may be reflected in your records because you may have had to pay fees and other transactions costs (such as transaction fees for CoinPayments).


As a reminder, the Receiver is not giving credit for ROI, bonuses or internal transfers.  
 

Are there any electronic payment options for residents of foreign countries?

Yes.  For Users residing outside the United States, the Payment section of the Portal provides several options to receive distributions electronically, including PayPal, Zelle, and Venmo. 


However, some (or all) of the electronic payment options may not be available in all countries. We are aware of a small number of non-US countries in which none of the electronic payment options are available to Users. The Receiver’s team will be reaching out to Users in those countries directly to discuss alternative payment options.

I have a new email or address information. How can update my contact information?

You may request to update your email or other contact details by selecting the “Change Contact Info” link at the top of the User Portal screen. All requests will be submitted to the Receiver for consideration.

I selected a payment method on the User Portal, but now I would like to change my payment methods. How can I update my selection?

The Payment panel in the User Portal can be updated to change your payment information. You will be able to make updates at any time, except within a small window prior to the Receiver making any distribution.  The Receiver will notify Users of any deadline to update payment methods prior to making a distribution.

I accidently reassigned certain of my deposits and I would like to reset / change my reassignment selections. How do I reset my reassignment selections?

Please reach out to Stretto at EminiFX@stretto.com  and explain what happened

What if I missed the February 26, 2024 deadline to verify transactions or submit disputes? Did I lose my claim?

If you missed the deadline, your transactions have been presumptively verified.  You cannot add or dispute transactions.  However, you will NOT lose any claim you may have—that claim will be based on the data available to the Receiver, including the amount of withdrawals and deposits made by the User.

Why are there no transactions listed on the Transaction Log?

The Receiver has undertaken a review of documents available to him and has sought to attribute all deposits of money into the EminiFX System (Contributions) and all withdrawals from the EminiFX System (Withdrawals) to a particular EminiFX User Account.  If there are no transactions listed on you Transaction Log, it means that the Receiver did not find any Contributions or Withdrawals related to your EminiFX User Account, nor did the User add any during the User Portal process. 

What if I did not make any Contributions or Withdrawals?

If you have not made any contributions or withdrawals into or out of the EminiFX System, you do not need to do anything and no action is required by you.

Where is the full list of court-approved procedures available?

The procedures for the verification of User Contributions and Withdrawals contain a complete description of the process for reviewing such transactions, which can be found at the Procedures Order (docket no. 228).  The most recent version of the Procedures can be found on the Receivership website HERE.

Distribution Plan Frequently Asked Questions (Update in Process)
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Has the Court approved a distribution Plan?
Yes. The Court approved the Receiver’s Distribution Plan on January 21, 2025. A copy of the Court’s decision approving the plan is available HERE.  

A full copy of the approved Distribution Plan is available HERE. A short explainer of the contents of the Distribution Plan is available HERE
What distribution will I receive?
If you have verified deposits of $1,000 or less, you are in “Class 3A.” This means you will receive a distribution equal to 55% of your total deposits amount, less any withdrawals.  For example, A person with verified deposits of $800 and no withdrawals will receive a distribution of $440, which is 55% of the total $800 verified deposit value.  If a person has verified deposits totaling $800, but also verified withdrawals totaling $100, that $100 would be deducted from the distribution amount, meaning the person would get a distribution of $340 ($440 - $100). The Receiver expects that this will be the only distribution for Class 3A Claimants.

If you have verified deposits of more than $1,000, you are in “Class 3.” This means you will receive an initial distribution that amounts to 45% of your total deposits, less any withdrawals.  For example, a person with verified deposits totaling $10,000 and no withdrawals will receive an initial distribution of $4,500 (45% of $10,000).  If that same person also had verified withdrawals of $1,000, that amount would be deducted from the distribution amount, so the person would receive $3,500 ($4,500 - $1,000).  

Whether you are in Class 3 or Class 3A, if your verified withdrawals are more than the distribution you are scheduled to receive, you will not receive a distribution.  For example, if a Class 3 user with $10,000 in verified deposits also had $5,000 in verified withdrawals, because that $5,000 exceeds the amount of their $4,500 initial distribution (45% of $10,000), they would not receive the distribution.  Note that this affects only a few hundred out of tens of thousands of users. 
Am I receiving credit for ROI, Bonuses, and Internal Transfers?
No. Under the approved Distribution Plan, your distributions are comprised only of verified deposits and withdrawals, as discussed above.  

Regarding ROI and bonuses, as the Court explained in its opinion, “the gains and bonuses were illusory,” and “EminiFX was a Ponzi scheme that did not generate any actual profits.” Deposits were all pooled together.  Individual withdrawals were not paid from profits.  Instead, withdrawals were paid from the same pool of money holding all the investor deposits.  That is the same pool of money that I am using to pay these refunds now.

If another user agreed to transfer one of their verified deposits to you, your verified deposit amounts will reflect the addition of this transferred amount. The user that transferred the deposit will have his verified deposits reduced by the amount transferred. 
Where can I see my total verified deposits, verified withdrawals and distribution amount?

This information is being made available on your User Portal page, which you can log into HERE

How will I receive my distribution?
There is a section on your User Portal page where you can provide your payment information.  You can choose to receive a payment via an electronic method or check, and then you can provide your details. The Receiver recommends electronic payment because it is faster, but the method is entirely up to you.  Checks can only be sent to domestic mailing addresses.

If you have not your payment information on the User Portal, please log on and provide it.  And if you have any friends or family members who invested in EminiFX, please also tell them to provide their payment information.
When will I receive my distribution?
For users whose deposits and withdrawals have all been verified, and their account is not subject to a review hold, distributions will be made in waves throughout 2025 as payment information is provided by users.  If you provided your payment information by January 31, 2025, you will get a distribution in the first wave, which is anticipated in the first half of February 2025.  

If you did not provide your payment information by January 31, 2025, you can still receive a distribution.  Any distribution you are entitled to as a result of your verified deposits will be set aside and can be paid in a later wave.  You must, however, provide payment information to receive a distribution.  While a distribution is taking place, the ability to add or update payment information will be locked.  It will then be unlocked and users can again provide payment information once the distribution wave is completed.  
What if there is an unresolved dispute or hold on my account?
If you still have disputed transactions or a review hold, you will not yet receive a distribution until that dispute and/or hold is resolved. The Receiver’s team is currently working through accounts with disputes and/or holds, and will reach out in the coming weeks and months to resolve these issues.  

Money is being reserved for users whose accounts are still subject to a dispute and/or hold.  
General Frequently Asked Questions
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What is the status of EminiFX?

On June 15, 2022, the United States District Court for the Southern District of New York entered a Consent Order for Preliminary Injunction and appointed David Castleman as Receiver over EminiFX, Inc. (“EminiFX”) assets and the assets of Eddy Alexandre that are traceable to EminiFX customers. The Consent Order followed the Receiver’s initial appointment as Temporary Receiver under the Statutory Restraining Order, which was in effect from May 11, 2022 to June 15, 2022.

As a result, EminiFX is no longer in operation.  No withdrawals are permitted, and all EminiFX users who contributed or withdrew money can validate their transactions through the Receiver’s court-approved transaction verification process, using the EminiFX User Portal HERE.

Additional information about the Receivership, including a copy of the Consent Order appointing the Receiver, can be found at this website.

What is a Receivership?

Receivership is a process in which a legally appointed receiver acts as custodian of a company's assets or business operations. The Receivership process is designed to allow a court‐appointed third party to act as a custodian for assets and maximize asset values for investors, creditors, employees and parties who have an interest in the estate.  

The Receiver’s duties and responsibilities require him to identify, account for, preserve and protect Receivership assets. In addition, the Receiver has been granted specific powers to sue, marshal, collect and take possession of the property and books and records of EminiFX and certain assets of Eddy Alexandre.

The assets collected will ultimately be distributed in a manner to be determined and approved by the court at a later time.

Why is EminiFX in receivership?

EminiFX is in receivership because it was alleged to have been operated in a Ponzi-like manner, offering unrealistic returns of 5.00-9.99% per week without any corresponding investments that would support those returns.  The Receiver’s investigation, as summarized in the Financial Condition Report filed on May 15, 2023, has demonstrated that withdrawals from EminiFX were funded with contributions from EminiFX users, rather than from investment gains.  See the Commodity Futures Trading Commission’s Complaint, filed on May 11, 2022, for additional allegations that led to the Receivership.

What is the status of the Criminal Case against Alexandre?

On February 10, 2023, Eddy Alexandre pleaded guilty to one count of commodities fraud and entered into a Consent Preliminary Order for Forfeiture, available HERE.  That order states, in paragraph 11:  “All assets distributed to the victims by the Receiver in the CFTC Action that were obtained from the Defendant and EminiFX shall be applied towards the satisfaction of the Money Judgment.”

On July 18, 2023, Eddy Alexandre was sentenced to nine (9) years of imprisonment.  Mr. Alexandre is currently incarcerated.

Will Eddy Alexandre have continued involvement?

The Receiver has terminated Eddy Alexandre from EminiFX. The Receiver has taken custody of EminiFX’s assets and operations.

Who does the Receiver work for?

The Receiver is an agent of the Court and therefore works for the appointing judge. The beneficiaries of the Receiver's work are the members, creditors, employees and parties who have an interest in the estate.

Where can I learn more about the Receivership and obtain periodic updates?

Additional information about the Receivership can be found at www.eminifxreceivership.com. Status reports as filed with the Court will be posted on the receivership website as they become available.

I heard some people got refunds already. Is this true?


No. The Receiver has NOT made any distributions yet.  If the Court approves the proposed plan of distribution, the Receiver expects to begin making distributions at the end of 2024 if the proposed plan of distribution is approved by the Court.

Can I write off my investment loss?

The Receiver cannot give tax or other legal advice. Please consult with your accountant or tax advisor and seek their advice.

Will the Receivership have any assets to pay claims?

The Receiver believes that all material EminiFX assets have been turned over to the Receivership, subject to any right to pursue claims against third parties as appropriate. All digital assets in the Receivership have been liquidated, and the Receiver has placed the cash in interest-bearing accounts. As of August 2023, there is over $153 million in cash in the Receivership. For more information please see the Receiver’s most recent status report, linked to on the homepage, and or the Receivership Finances section of the website HERE.

When will additional updates to investors be provided and how do I receive these?

Please continue to check the website for periodic updates. To subscribe to receive updates as items are filed on the civil docket, please visit www.eminifxreceivership.com/civil-docket and click on the blue "Subscribe" button. From there, you can sign up to get email notifications as pleadings are filed, daily, or weekly.

Who do I contact for additional information?

You may submit an inquiry by email at EminiFX@Stretto.com or by calling (855) 228-3721 (toll-free) or 1(949) 407-5078 (international).