Chicago Trader Randall Rye Sentenced to 70 Months for Spending Investors' $1.7 Million on World Series, Masters and Lollapalooza Tickets

Case from 2017 (U.S. Attorney's Office latest release: July 26, 2017). Published on Scammers.com Oct. 16, 2026; case status is current as of that date.

Randall Rye, owner of Faster Than Light Trading LLC in Chicago, was sentenced on July 26, 2017, to 70 months in federal prison for taking $1.72 million from about 20 investors and spending it on himself instead of trading, the U.S. Attorney's Office for the Northern District of Illinois announced [1].

How the scheme worked

According to prosecutors [1] [2]:

1. The pitch: Rye promised large profits from a proprietary computer algorithm that would trade options and futures.
2. No program: There was no algorithmic trading program, and client money was not held at any financial services firm.
3. Fake statements: He sent investors false account statements that appeared to come from established financial firms and showed their money invested and profitable.
4. Ponzi-type payments: The indictment said he used newer investors' money to pay earlier ones.
5. Spending: He made large cash withdrawals, traveled to St. Lucia and Bali, and bought event tickets: $47,000 for five 2016 Lollapalooza tickets, $110,000 for 14 tickets to the 2016 World Series and $75,000 for one premium package to the 2016 Masters.

Prosecutors said many victims had given him part of their retirement savings.

The person sentenced

Randall Rye, 26 at sentencing, of Chicago [1]

• Arrest: February 2017; held in federal custody [2].
• Indictment (March 15, 2017): six counts of wire fraud.
• Plea: pleaded guilty in 2017 to one count of wire fraud.
• Sentence (July 26, 2017): 70 months in prison, imposed by U.S. District Judge Ronald A. Guzman.
• Investigation: FBI Chicago.

Red flags

• A secret "proprietary algorithm" that can't be independently examined.
• Statements that come from the adviser rather than directly from a known custodian.
• A young firm promising "substantial" steady profits in options and futures.

What to do if you're targeted

1. Confirm registration with the CFTC and NFA at nfa.futures.org/BasicNet for anyone trading futures for others.
2. Call the custodian directly, using a number you look up yourself, to confirm your account exists.
3. Report suspected commodities fraud to the CFTC at cftc.gov/complaint.

Case status (as of Oct. 16, 2026)

Defendant	Court	Status as of Oct. 16, 2026	Source
Randall Rye, Chicago	N.D. Ill. (Judge Guzman)	Indicted March 15, 2017; pleaded guilty to wire fraud in 2017; sentenced July 26, 2017, to 70 months	[1], [2]

The sentence was imposed in 2017; we have not found a source on any later proceedings.

Sources

1. U.S. Attorney's Office, Northern District of Illinois, "Chicago Trader Sentenced to Five and a Half Years in Federal Prison for Misappropriating More Than $1.7 Million in Client Funds," July 26, 2017. https://www.justice.gov/usao-ndil/pr/chicago-trader-sentenced-five-and-half-years-federal-prison-misappropriating-more-17
2. U.S. Attorney's Office, Northern District of Illinois, "Chicago Trader Indicted on Fraud Charges for Allegedly Misappropriating at Least $1.5 Million in Client Funds," March 16, 2017. https://www.justice.gov/usao-ndil/pr/chicago-trader-indicted-fraud-charges-allegedly-misappropriating-least-15-million

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