I wish to reply directly to these totally unfounded allegations. There are always two sides to every story. Mr K raised a number of red flags regarding fraud management with regards to the operation of his trading account.
1. Yes he was warned about using a proxy, which is contained in paragraph 38 of our terms and conditions but we accepted he was overseas in Canada at the time and of course in the nicest possible way allowed him to continue to operate his account. Even though later when you examine this one sequence of log ins it appears that Mr K had defied the laws of physics and was in two separate locations at the same time.
Login Time Stamp Logout Time Stamp Location IP Address
09/09/2013 13:12:51 09/09/2013 18:00:37 South Africa (ZA) 198.**.65.**
09/09/2013 13:11:25 09/09/2013 16:04:18 United Kingdom (GB) 93.***.31.***
09/09/2013 12:08:15 09/09/2013 13:12:37 South Africa (ZA) 198.**.65.**
09/09/2013 06:33:52 South Africa (ZA) 198.**.65.**
08/09/2013 22:37:00 South Africa (ZA) 41.**.2.***
08/09/2013 10:30:47 United Kingdom (GB) 93.***.31.**
FYI restricting the use of a proxy or any technology to hide ones location is simple, there are certain locations which we are not allowed by law to operate or accept clients from and it is to prevent clients from these locations registering an account. We would be in violation of the law by operating such an account and are therefore required to take reasonable measures to prevent this. Even though we require clients to read and sign terms and conditions before issuing a bonus to avoid any confusion, we cannot force clients to read our general terms and conditions.
2. Mr K then had problems providing the necessary KYC documents that are required and asked on a number of occasions if we could accept different sets of documents than those that are required. We are required to obtain and keep on file a particular set of documents proving the clients identity - this both protects the client against ID theft and unauthorized access to their account as well as satisfying international anti-money laundering regulations. To date we still do not have any KYC documents on file for Mr K.
It was the combination of these separate issues that raised 'red flags' as well as a sudden dramatic change in trading style that instantly started to produce positive results which were in complete contrast to the results he had produced to date. Statistically this is extremely unusual and falls outside of the the range considered 'normal'. This issue on its own would have been reason to investigate the account and during the normal course of events this would have happened at a later date.
The combination of all three of these issues however, provided a compelling trigger to conduct a thorough investigation at this time and suspend Mr K's account. No specific allegations were made at this time except pointing out the particular paragraphs of the terms and conditions that the investigation would focus on.
This investigation was completed by a third party yesterday and specific evidence was found that proved Mr K had on more than one occasion executed fraudulent trades in clear contravention of posted terms and conditions which he had agreed to, as is standard practice, when he opened his account.
Mr K has now been notified of the outcome of this investigation and supplied with all the evidence. His account has been closed and the last deposit he had made has been refunded to his credit card, Mr K is now in possession of the receipt for this transaction and the refund should hit his card without delay. As this has been processed as a refund not a withdrawal we have been able settle this immediately and without having Mr K's documents on file. The other deposits were not refunded, as no monies were owed as Mr K had traded up until this point in accordance with our terms and conditions and lost, his account balance was at that point zero and this had triggered the final deposit.
We have always treated Mr K professionally and with complete respect and spent many hours working with Mr K on Skype, to teach him the basics and finer points of trading. If he had been in any way unhappy with our service before these issues came to light why did he deposit his $265 in five separate deposits? Why did he accept four bonuses all of which were redeemed or cancelled due to low balance and two of which were no deposit bonuses, only one of two clients ever to receive two no deposit bonuses?
We bent over backwards to help Mr K, to enable him to trade even when he had no funds to deposit and even provided him a second practice account which has always remained active during the course of this investigation. On reconciling Mr K's account by cancelling the fraudulent trades and subsequent trades funded by those profits the account balance is now negative - but we still have refunded Mr K's deposit immediately and despite his unfounded and untrue allegations on this forum have indicated our desire to draw a line under this and take no further action.
We have always given Mr K the benefit of the doubt. In what way could we have been any fairer with our handling of this matter?
I will conclude by making the following points to defend our excellent reputation which we worked very hard to build and value above anything else
At bnryoptions.com we understand exactly why this sector has such a poor image and because of this we pride ourselves on our integrity, honesty and transparency and on the excellent responsive client service that we provide. Not only is this the first ever complaint of any kind, but so far we have received nothing but fantastic feedback from clients and reviewers alike, as this third party unsolicited review shows:
bnryoptions | Binary Trading. In particular Sue receives nothing but thanks from the many clients that she works tirelessly for, to provide help, support and sound trading advice.
I sincerely hope that this goes someway to explaining the other side of the coin and that as a broker we are on occasion faced with traders that try and circumvent the rules that have to be in place, and that due to the very nature of our business have to be monitored carefully and when necessary rigorous action taken.
Thank you
Garry Simpson
Director of Broker Services
bnryoptions.com