The agency accuses Higgins and his companies of misappropriating $7 million dollars in assets of over 200 clients through what is described as a "fraudulent silver leasing program."

Regulators thus announced last week they are pursuing a civil enforcement action against Higgins and his companies. And a U.S. District court judge froze their assets.

According to the CFTC's press release, "The defendants misappropriated other client assets and misled and deceived those clients when they attempted to withdraw their assets or transfer them to another depository.

"In addition, the defendants lied about the insurance coverage FSD maintained and failed to adequately insure its clients' assets despite representations and guarantees it made to the contrary."