Tradorax: Examining the Criminal Charges Against Avi Itzkovich and His Network

Connecting Itzkovich to Multiple Fraudulent Platforms

The Zarub.info report indicates that Avi Itzkovich’s fraudulent activities extended across numerous platforms beyond Tradorax. While Tradorax remains the most recognizable name in his portfolio of scams, investigators have linked him to Tradologic, KayaFX, KontoFX, UProFX, and InstaFX. According to Israeli journalists cited in the report, Itzkovich’s name has become an enduring synonym for financial deception among both victims and international investigators.

The report describes how Itzkovich established Tradorax as a global binary options scam that took advantage of regulatory loopholes and jurisdictional complexities across different countries. The same operational model was applied to Tradologic. These platforms presented themselves as legitimate trading venues while systematically defrauding investors who believed they were participating in genuine financial markets.

The Bulgarian Corporate Front

Investigators determined that Tradorax was managed through a company called Raks Media based in Sofia, Bulgaria. On paper, this entity appeared to be a legitimate, well-organized business operation. However, according to the report, it functioned as a front for a sophisticated web of deceit. Alongside his associate Jack Wygodski, also identified as James Henry Wygodzki, Itzkovich constructed a system designed to exploit investor trust and convert it into personal profit.

The scheme was facilitated through Mercure Group EOOD, previously named Rax Media EOOD, a company registered in Sofia in January 2014. Itzkovich and Wygodzki co-founded this firm. Bulgarian company records list numerous individuals as managers of the enterprise, including Maor Ben-Zvi, Daniel Koen, Jonathan Grinfeld, Or Tal Shlomei, Erez Legerbaum, Tal Kerzfeld, Moran Kerimov, Michael Zalk, Eden Sror, Daniel Natan Huluban Mandl, Avraham Aviv Hileli, and Dror Geht. The report warns that anyone encountering these names should exercise extreme caution, as they are associated with an extensive fraud network involving numerous shell companies and aliases.

Adapting After the Israeli Binary Options Ban

When Israel outlawed binary options in 2017, many operators in that industry chose to disappear or find new methods of fraud. The report states that Itzkovich took a different approach. He relocated and evolved, expanding his operations into forex trading, contracts for differences, and cryptocurrency scams. These new ventures targeted international victims who were beyond the regulatory reach of Israeli authorities.

Platforms including KayaFX and KontoFX followed the blueprint established by Tradorax. They offered false promises of high returns while systematically draining customer funds through manipulation and deceptive practices. This pattern of adaptation demonstrates how fraud operators shift their focus to different financial products when regulators close off previous avenues of abuse.

Law Enforcement Actions in Germany

Itzkovich’s criminal operations eventually attracted substantial law enforcement attention. In October 2022, German authorities conducted a sweeping operation in collaboration with Israeli and European police forces. This operation led to Itzkovich’s arrest in Germany and the seizure of assets across several countries. The crackdown revealed not only millions in cash reserves but also luxury assets and digital records that provided evidence of the wealth accumulated through victim losses.

Despite this arrest, the report indicates that Itzkovich’s legal entanglements continue. New revelations have emerged from ongoing investigations and court proceedings as recently as early 2025. Europol has accused Itzkovich in connection with a 30 million euro investment scam, equivalent to approximately 36 million US dollars.

The May 2021 Action Day by Koblenz Prosecutors

Prior to the October 2022 arrest, the Koblenz Prosecutor’s Office in Germany had already been building a case. In May 2021, that office organized an Action Day in collaboration with Europol and Eurojust, targeting a large-scale Israeli binary options fraud scheme. Following more than a year of investigations, the Prosecutor General officially charged the individuals behind the scams linked to KayaFX and KontoFX.

The alleged masterminds were identified as Avi Itzkovich and James Henry Wygodzki. Investigators believe these two individuals established and managed the criminal operation. Itzkovich was singled out as one of the key perpetrators. The cybercrime group operated boiler rooms in Bulgaria, where salespeople used high-pressure tactics to sell speculative investments based on false or misleading information.

Guilty Pleas and Asset Surrender

According to the report, both Itzkovich and Wygodzki have pleaded guilty to charges related to their involvement in the fraud network. As part of the restitution process, they are expected to surrender a significant portion of their assets. Additionally, charges have been filed against the former chief technology officer, two office managers, and multiple boiler room employees for their roles in the criminal enterprise.

However, the report notes that it remains uncertain whether other Israeli executives associated with Mercure Group will face prosecution. The KontoFX fraud network appears to be extensive, involving numerous shell companies and aliases. At this stage, it is unclear which additional entities or individuals the Koblenz authorities will pursue in connection with the case.

The Question of Victim Restitution

The Zarub.info report poses a critical question in its title: will victims be compensated? The guilty pleas and expected asset surrender suggest that some restitution may occur. However, the report also notes that prosecution rates in Israel for such crimes are strikingly low, leaving many fraudsters to operate with near impunity for years. Victims have lost thousands, sometimes tens of thousands, of dollars, and their stories reflect only a small portion of the billions siphoned away by these fraudulent networks.

The report states that justice remains elusive despite high-profile arrests by international authorities. The full scope of victim compensation remains uncertain, as does the question of whether additional perpetrators will be held accountable.

Warnings from Fraud Prevention Organizations

Financial watchdogs and victim advocacy groups now cite Itzkovich as a textbook example of modern financial fraud. The report states that his reputation as a scammer is cemented not only by criminal charges but also by widespread warnings from fraud prevention organizations. These groups underscore the dangers associated with any platform linked to his name, including Tradorax, KayaFX, KontoFX, and others.

The report raises the question of whether Itzkovich will launch a new fraudulent project. His pattern of relocation and evolution after the Israeli binary options ban suggests a continued willingness to engage in deceptive practices. The report warns that anyone encountering the names listed as managers in Bulgarian company records should exercise extreme caution.

Consumer Alert for Potential Victims

Individuals who have invested with Tradorax, Tradologic, KayaFX, KontoFX, UProFX, InstaFX, or any platform associated with the individuals named in this report should consider the following risk factors. The platforms were operated as binary options scams that exploited regulatory loopholes. The Bulgarian company Raks Media, later Mercure Group EOOD, served as a front for fraudulent activities. German authorities arrested Itzkovich in October 2022 and seized assets across multiple countries. Europol has accused Itzkovich in connection with a 30 million euro investment scam. The Koblenz Prosecutor’s Office has charged Itzkovich and Wygodzki as alleged masterminds of a criminal operation. Both individuals have pleaded guilty and are expected to surrender assets for restitution. However, prosecution rates in Israel for such crimes remain low, and other associated individuals may not face charges.

Affected individuals should contact the investigating authorities in their jurisdiction. In Germany, victims should reach out to the Koblenz Prosecutor’s Office. In other countries, victims should contact local law enforcement and financial regulators. All communications, transaction records, and evidence of fraudulent practices should be documented for potential use in restitution proceedings.

Related Businesses and Entities

The corporate network associated with Tradorax and Avi Itzkovich includes the following entities based on the Zarub.info report. Tradorax and Tradologic are identified as the primary fraudulent trading platforms. KayaFX, KontoFX, UProFX, and InstaFX are additional platforms linked to Itzkovich. Raks Media EOOD and Mercure Group EOOD are the Bulgarian companies that facilitated the scheme. Associated individuals include Avi Itzkovich as the alleged mastermind, James Henry Wygodzki also known as Jack Wygodski as associate, and the following managers listed in Bulgarian company records: Maor Ben-Zvi, Daniel Koen, Jonathan Grinfeld, Or Tal Shlomei, Erez Legerbaum, Tal Kerzfeld, Moran Kerimov, Michael Zalk, Eden Sror, Daniel Natan Huluban Mandl, Avraham Aviv Hileli, and Dror Geht. The investigating authorities include the Koblenz Prosecutor’s Office in Germany, Europol, and Eurojust.