Matthew Melton was extradited from the U.K. and charged in the Southern District of New York with operating a Ponzi-style fund called Price Physics that allegedly solicited millions from investors using false claims about a proprietary trading algorithm. The indictment alleges guaranteed monthly returns up to 12% and that new investor funds were used to pay earlier investors and personal expenses.

Federal prosecutors in the Southern District of New York announced that Matthew Melton was extradited from the United Kingdom and returned to face charges alleging he ran a Ponzi-style investment operation marketed as Price Physics. According to the indictment, Melton solicited millions of dollars from investors by touting a proprietary trading algorithm and promising unusually high monthly returns, including guarantees as high as 12 percent per month. Investigators allege he misrepresented performance, diverted incoming investor capital to pay earlier investors, and used funds for personal expenses rather than legitimate trading. The charges include securities and wire fraud counts being handled by SDNY's Securities and Commodities Fraud Task Force, which emphasizes the risks posed by claims of secret or guaranteed trading strategies. Prosecutors say the scheme produced multi-million-dollar losses for victims who invested based on false performance statements. The extradition and formal indictment underscore international cooperation in pursuing cross-border financial fraud and the priority prosecutors place on protecting investors from deceptive fund managers.