A federal court has ordered Florida man Michael Frederick Staryk to pay more than $6.4 million for an options trading fraud. At least 26 retail clients had sent money believing their funds were trading options on commodity futures contracts. The promised trading never occurred.
The Commodity Futures Trading Commission announced the judgment on September 15, 2026. Staryk operated individually and through entities doing business as Magestic World Wide Finance and related names, according to the CFTC.
What happened in the Staryk case
The U.S. District Court for the District of Connecticut entered a default judgment against Staryk. The court ordered $547,616 in restitution to defrauded clients and a $5,907,720 civil monetary penalty, the CFTC said in Release No. 9299-26.
The court also permanently enjoined Staryk from further violations of the Commodity Exchange Act and imposed permanent trading and registration bans. The judgment resolves a CFTC enforcement action originally filed in 2024.
Key numbers in the CFTC judgment
| Item | Amount |
|---|---|
| Restitution owed to clients | $547,616 |
| Civil monetary penalty | $5,907,720 |
| Combined court-ordered total | $6,455,336 |
| Retail clients defrauded | At least 26 |
| Disgorgement by relief defendants | $110,510 |
In a separate consent order, the court directed relief defendants Yvonne Stephanie Solerti-Coto and Global Financial Institution LLC to disgorge $110,509.86 in Staryk client funds. The court found those defendants received money to which they had no legitimate claim.
How the options fraud worked
Staryk fraudulently solicited funds from U.S. retail clients for what he described as trading in options on commodity futures contracts, the CFTC alleged in its complaint. Clients sent money expecting active trading in their accounts.
No trading occurred. The complaint states that client funds were misappropriated instead, with a portion moving to the relief defendants.
The offshore connection
The case crossed borders. The CFTC acknowledged assistance from the Superintendencia General de Valores, Costa Rica’s securities regulator, along with the U.S. Attorney’s Office for the Northern District of Texas and the FBI’s Dallas and Fort Worth offices.
Offshore entities and cross-border fund flows are a recurring feature of commodity pool fraud. Money that leaves the country is harder to trace and harder to recover once a scheme collapses.
Red flags in commodity options offers
- Promises of consistent profits from options trading with no disclosure of risk or losses
- Sellers who are not registered with the National Futures Association
- Fund transfers to offshore entities or unfamiliar third parties
- Account statements that arrive late, arrive irregular, or cannot be verified independently
- Pressure to wire money on short notice to lock in a trading opportunity
What defrauded clients can do now
Clients who sent money to Staryk or his Magestic entities should preserve wire receipts, account statements, and every email or chat message from the promoters. The CFTC notes that restitution orders depend on the wrongdoer’s ability to pay, so victims may also want independent legal review of their options.
Before sending money to any trader, investors can verify registration through the National Futures Association’s BASIC system at no cost. An unregistered solicitor managing a commodity pool is one of the oldest warning patterns in the futures industry.
Haselkorn & Thibaut fights for investor recovery
Haselkorn & Thibaut is a securities law firm founded by former Wall Street defense attorneys who shifted their practice to represent investors. The firm has recovered over $520 million for clients in securities matters and maintains a 98 percent success rate in resolved nontraded REIT cases. Attorneys are AV Preeminent rated through Martindale-Hubbell, designated as Super Lawyers, and hold a 5.0-star client review average. The firm operates on a contingency basis — no recovery, no fee.
Contact Haselkorn & Thibaut today
Time matters in options fraud cases. The earlier you act, the stronger your position. The firm offers a free case evaluation to assess your losses, review your account history, and explain your options under arbitration or settlement.
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- website for a free consultation
Offices in Florida, New York, Arizona, Texas, and North Carolina. Former Wall Street defense attorneys with 95+ years of combined experience. No recovery, no fee.
This article is provided for general informational purposes and does not constitute legal or investment advice. Investors should consult a qualified professional about their specific circumstances.
