Dan Shakwho was very active in 2022 World Series of Poker (WSOP)was loaded by the Commodity Futures Trading Commission (CFTC) with “spoofing”, a term for when buyers of securities place orders in the market and then cancel them before the order is executed. Identity theft is illegal and can lead to heavy penalties.
The high-stakes poker player allegedly repeatedly placed gold and silver futures orders with the intention of canceling them before they were executed, and this is not the first time he has has issues with the CFTC.
In 2013, the former director of SHK Management, LLC was fined $400,000 for attempting to manipulate the price of Light Sweet Crude Oil (WTI) futures contracts on the New York Commodity Exchange (NYMEX). As a result, it was permanently banned from trading in all crude oil markets.
Similar Business Practices Model
Shak also settled a claim against him in March 2015 related to trading during the last minute in the gold and silver futures markets despite being ordered not to do so by the CFTC. In December 2020, following a Business Conduct Committee investigation, he paid a $65,000 fine for engaging in disruptive activities in the silver and gold futures markets by entering orders with no intention to trade. He neither admitted nor denied the allegations.
The new charges against the poker enthusiast, as revealed in a CFTC press release, are quite similar. Once again he is accused of manipulating the gold and silver markets. By doing so, he could manipulate the market price and then turn around and sell the products he already owns at a higher price than their previous value.
According to the press release, the “complaint alleges that from February 2015 to March 2018, Shak repeatedly engaged in manipulative or deceptive acts and practices by usurping – bidding or bidding with the intent to void the offer or offer before execution – while placing orders for and trading gold and silver futures contracts on the Commodity Exchange, Inc.”
Shak is said to have, on “hundreds of occasions”, placed large gold and silver futures orders without ever intending to actually execute the contract. In short, he was supposed to place the orders and then cancel them before the order was fulfilled, and did so many times over a three-year period.
“These charges demonstrate yet again that the CFTC will vigorously pursue, to the fullest extent permitted by law, misconduct that could undermine the integrity of our markets,” the statement said. Gretchen Lowe, Acting CFTC Law Enforcement Division.
Regular on the Poker Circuit
Shak, who resides in Las Vegas, was an active participant in the 2022 WSOP and has a long history of competing in high-stakes tournaments and cash games. Technically, he’s not a poker pro, but he’s a familiar player at the tables.
During this summer’s WSOP, he cashed in seven events — mostly min-cash — including a 954th-place finish in the Main Event for $17,000. According to Hendon Mob, his overall live tournament winnings exceed $11.7 million, though that doesn’t take into account buy-ins, so it’s unclear how much he actually profited (or lost) over the course of his career. the lifespan of tournaments.
Shak’s highest career score was $1,178,400 in a $100,000 high roller at 2014 PokerStars Caribbean Adventure (PCA)a second place.