Canadian racing driver and Instagram influencer accused of 'massive fraudulent' scheme that defrauded investors of millions
CTV
U.S. officials allege Canadian race car driver and Instagram influencer Josh Cartu and his brothers ran a 'massive fraudulent' trading operation between 2013 and 2017 that appears to have helped fund Cartu’s lavish lifestyle through multi-million-dollar transfers to off-shore bank accounts in the Caribbean.
Cartu, who grew up in St. Catharines, Ont., boasts more than 700,000 followers on an Instagram account (@jcartu) that documents his exploits racing Ferraris, attending Milan Fashion Week and taking a ride in a Russian MiG fighter jet to the edge of the stratosphere.
Among those following closely are securities regulators in Ontario and the United States, who accuse Cartu and his two younger brothers of enriching themselves through an illegal online stock trading scheme run from an office in Israel.
U.S. officials allege the Cartus ran a “massive fraudulent” trading operation between 2013 and 2017 that appears to have helped fund Cartu’s lavish lifestyle through multi-million-dollar transfers to off-shore bank accounts in the Caribbean.
Regulators accuse the Cartu brothers of selling risky “binary options,” effectively bets on the future direction of a publicly traded stock’s price. Like sports bets, they are all-or-nothing propositions. Guess correctly which way a stock will go and the investment pays out in full. Guess wrong and it’s gone.
