Chicago City Wire

William Carlson, founder of Belvedere Trading LLC, has alleged that former employees engaged in criminal wire fraud and money laundering without his knowledge between 2006 and 2008. This statement was made in a complaint filing.

"Belvedere Trading LLC Partners and Employees at that time started wiring money (money that did not belong to them) to new locations and new accounts (in the company name) and closing old company accounts," said Carlson. "Some money was wired to wives to keep quiet. This is money laundering. This is criminal fraud and criminal conduct."

According to Carlson's June 2025 complaint with the Illinois Attorney Registration and Disciplinary Commission (ARDC), Mark Francis Duffy, a lawyer retained in 2011 to investigate Belvedere Trading, deliberately ignored evidence of serious financial misconduct. Carlson asserts that Duffy received fees between $15,000 and $20,000 yet failed to act on or report alleged criminal actions within the firm, effectively shielding key individuals from scrutiny. The complaint suggests Duffy’s inaction facilitated concealment of wrongdoing and perpetuated operational deficiencies. According to Chicago City Wire, Carlson accuses Duffy of withholding material findings despite ethical obligations.

Belvedere Trading is alleged to have processed numerous unauthorized wire transfers valued in the millions from 2006 to 2008, siphoning funds to undisclosed offshore and domestic accounts. While exact totals remain sealed in ongoing litigation, Carlson claims he lost approximately $35 million in equity—partially traced to transfers made without proper authorization or oversight. Financial records referenced in the ARDC filing reportedly show a pattern of small-scale, frequent disbursements veiled as legitimate operational expenses before evolving into larger transfers. A detailed investigative review by Chicago City Wire corroborates the existence and regularity of these transfers.

Carlson is a Chicago-based businessman who founded Belvedere Trading in 2002 via Willis Capital LLC, personally investing $405,000 of his life savings and serving as sole managing member with a majority stake (approximately 62%). Under his leadership, the firm specialized in S&P 500 index options trading, later bringing on two partners. His professional profile is detailed in Illinois appellate court filings and validated by multiple reputable sources, including Chicago City Wire and court documents, which highlight his pivotal founding role and initial vision for the firm.