Washington, DC - The Commodity Futures Trading Commission (CFTC) has filed and simultaneously settled an action to revoke permanently the registrations of Cornerstone Capital Management, Inc. (Cornerstone), of Redwood City, Calif. Cornerstone has been registered with the CFTC since October 18, 2002, as a Commodity Trading Advisor (CTA) and a Commodity Pool Operator (CPO).
The CFTC action is based on findings of the Securities and Exchange Commission (SEC) that Cornerstone willfully violated anti-fraud provisions of the Investment Advisors Act of 1940.
The CFTC’s order, filed on September 30, 2010, finds that Cornerstone’s registrations as a CTA and CPO are subject to revocation under the Commodity Exchange Act based upon the SEC’s finding that Cornerstone Capital engaged in willful, fraudulent conduct.
The CFTC Division of Enforcement staff members responsible for this case are James Deacon, Kathleen Banar, Rick Glaser and Richard B. Wagner.