CO man indicted by fed. grand jury for alleged foreign currency trading scheme

DETROIT — A Montrose man was indicted by a federal grand jury in Detroit for allegedly defrauding investors in a foreign currency, or forex, trading scheme.

Jeffrey A. Royer, 61, of Montrose, faces one count of commodities fraud and one count of wire fraud.

According to the US Attorney's Office for the Eastern District of Michigan, Royer served as a special agent with the Federal Bureau of Investigation (FBI) from 1996 to 2001. He was convicted in 2005 of federal securities fraud and released from federal prison in 2012 after completing his sentence.

The US Attorney's Office alleges that Royer carried out an investment fraud scheme from early 2020 through June 2023 involving his personal forex trading account.

Royer allegedly solicited more than $1 million from investors in the Eastern District of Michigan and elsewhere. He then either misappropriated the funds or lost it trading forex, according to the US Attorney's Office.

Royer reportedly did not tell investors what happened with their money. Instead, he allegedly provided false monthly account statements that showed investment gains.

“I am grateful to our FBI Michigan team, alongside members from the FBI Grand Junction Resident Agency and the Montrose Police Department in Colorado, for their investigative work and arrest in this case,” said Cheyvoryea Gibson, Special Agent in Charge of the FBI in Michigan, in a statement. “Today’s indictment of former FBI Special Agent Jeffrey Royer is important to ensure the public, regardless of an individual’s current or former profession, if you engage in foreign currency trading schemes, the FBI will investigate and arrest you.”

If convicted of commodities fraud, Royer could face up to 25 years in federal prison. He also faces up to 20 years in federal prison if convicted of wire fraud.

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