Silver Star Live was a forex themed MLM opportunity we came across in 2019.

Based on its business model we concluded that, at a minimum, Silver Star Live was engaged in securities fraud.

We first learned of CFTC action against Silver Star Live in late 2019. Two of the company’s co-owners, Candace Ross-Mahmoud and Hassan Mahmoud,
settled fraud charges with the CFTC
for $75,000.

Silver Star Live’s third owner, David “Quicksilver” Mayer, appears to want to defend similar allegations against him.

This prompted the CFTC to file charges against Mayer on June 11th.

As per the
CFTC’s complaint
, David Wayne Mayer resides in Georgia.

The complaint alleges that from at least July 2018 to March 2019, the defendants fraudulently solicited customers to open discretionary trading accounts and offered to trade those accounts through a fully automated retail foreign currency (forex) trading software system that Mayer created.

Mayer used the pseudonym “Quicksilver” to act as an unregistered associated person and to solicit clients through videos posted online, on social media, and at in-person marketing events.

The solicitations contained material misrepresentations and omissions regarding Mayer’s qualifications and trading experience.

Most of Silver Star Live’s marketing revolved around Mayer’s purported trading history.

To give you an idea of the extent Silver Star Live’s trading history was fabricated, the CFTC investigation found

Mayer never opened a live trading account using the forex trading system.

As part of efforts to market Silver Star Live, Mayer claimed he

had twenty years of trading experience;

had traded for a Wall Street hedge fund worth hundreds of millions dollars; and

tripled said hedge fund account every month.

As part of the CFTC’s Silver Star Live investigation, Mayer testified before the CFTC last September.

During his testimony, Mayer admitted that he had no actual trading experience and his statement that he had “been trading for a little over 20 years now” was false.

Mayer also admitted in his sworn testimony that his previous statements regarding his experience working at the hedge fund were false.

More specifically, Mayer admitted that he never traded any accounts at the hedge fund, including any accounts belonging to a municipal pension fund worth “hundreds of millions of dollars,” and any representations he made about his performance there pertained to so-called “demo accounts” that involved no actual trading.

Accordingly, Mayer’s representation that as a result of his efforts, “we’re tripling the account every month,” was also false.

In a great example of 
why social media marketing is not a substitute for required regulatory filings, 
the CFTC noted a number of Silver Star Live marketing videos.

During the Relevant Period, Mayer also participated in numerous online videos and in-person presentations, in which he purported to show how the Forex Trading System worked.

In these presentations, Mayer purported

🤖 Quick Answer

What was Silver Star Live and why did it face CFTC action?
Silver Star Live was a forex-themed multi-level marketing (MLM) opportunity identified in 2019 and assessed as engaged in securities fraud. The Commodity Futures Trading Commission filed charges against the company's owners for fraudulently soliciting customers to open discretionary trading accounts between July 2018 and March 2019.

Who were the defendants in the Silver Star Live CFTC case?
Silver Star Live had three co-owners: Candace Ross-Mahmoud and Hassan Mahmoud, who settled fraud charges with the CFTC for $75,000 in late 2019, and David "Quicksilver" Mayer, a Georgia resident, who faced separate charges filed by the CFTC on June 11th.

What were the main allegations against David Mayer?

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