PENDING RESOLUTION Case# 2012-090 | Ala Sadeq vs liteforex.com

[Ala Sadeq]

Original FPA Traders Court Submission:

I am submitting the case against: www.liteforex.com

My Case is: • Phone Password: 55b4dda59f
hello
i open 3 accounts with lite forex first 1 i deposit 700 $ and i lost the money and am sure they was very happy the second one i deposit 500 $ and lost it too, the third one i deposit 700 $ then i start making some profit then i withdrawal 700 $ and trade again and make profit again and when i ask for another withdrawal the cancel all my balance 1781$ and sent me this email:
(Hello.
The Security Department of LiteForex has completed the checking on your accounts. Due to the result of the revision by the security and risk management departments of the Liteforex Group of Companies there were found significant violations of the Reglament of the Company, on your account 882085 were found fraudulent transactions to get the illegal profit in bonus program. Illegal profit was cancelled.

Best regards,
LiteForex Anti-money laundering department. )

i have my orders history and am sure that they cant prove any thing of what they saying in the all 3 accounts i was using the same way of trading i just find a point on eurusd and take orders.
after i ask the company about what is the rule that i broke or to show me the proof of the fraud they answer with this email (Hello.
The Security Department has weighty evidence about facts of violations of the Reglament of the Company on your account 882085, and exactly evidence about facts of making fraudulent transactions by you. Illegal profit was cancelled. This is final decision.

Best regards,
LiteForex Anti-money laundering department. )
because am sure the cant proof any thing

New thread in the Scam Alerts Folder:

• https://www.forexpeacearmy.com/forex-forum/scam-alerts-folder/22059-liteforex-biggest-scam.html
  

Review is submitted by ala on 10/29/12

The company was first contacted about the issue on 10/29/12 the last contact was on 10/30/12

Details: Hello.
The Security Department has weighty evidence about facts of violations of the Reglament of the Company on your account 882085, and exactly evidence about facts of making fraudulent transactions by you. Illegal profit was cancelled. This is final decision.

Company representatives' emails: <amlpolicy@liteforex.com>

 

[AsstModerator]

I have just invited LiteForex to join your thread in the Scam Alerts Folder.

 

[Ala Sadeq]

ok thank you

 

[Ala Sadeq]

I have just invited LiteForex to join your thread in the Scam Alerts Folder.

i think they will not coming because the cannot proof any thing

 

[Feisal Rahimtoola]

Could this also involve trading on news? (Ref Rajiv's case)

 

[f Gwilym]

These are a just stealing peoples money. They were happy when you lost, now when you start making money they remove your profit. FPA needs to help put these kind of brokers out of business.
Even if they have a "legitimate" reason of withdrawing the profit you made, they should be able to point it out in their T&Cs. The fact they can t even do that or be bothered is enough for a scam ruling against them.

 

[Thai_trader]

This is how it goes when you trade with a Market Maker. Every profit you make is a loss for them. It is only in their best interest to limit your profits as much as possible. Of course, every loss goes into their pockets so they are more than happy to give you as much rope as possible so that you use it to hang yourself. That is the basis behind the "bonus programs".

 

[MMK77]

I never trust a Broker that offer bonus , because they will want there money back !

 

[Eddy 15]

Hi Ala, the same thing happened to me at lite forex, i started making money, and when i wanted to withdraw they said exactly the same thing to me what they said to you, and they cancled over $2,500 of my profit, this broker is a scam, and out to take traders money, do yourself a favour and check out what bank they are link to, you will find that the same guy that owns lite forex, also owns the bank, and their regulatory body is so small, they can't do anyting, this broker should really go out of business.

 

[PetDane]

I looked into market maker stratagy and they don't always trade against the trader. Firstly they balance trader positions against each other - so if ten traders sell euros they look for ten traders who are buying, they get their cut off the spread, no problem. When there are orders that cannot be paired they hedge by either trading with or against the trader according to how they see the market. Whoever is on the desk has to be a real hot trader, because if they get it wrong the company get a margin call themselves. This is probably why some MMs have to manipulate prices, make endless requotes, or just turn off the server. Marketing making is high risk.
Of course seom are just downright dishonest and may trade 'naked', never even passing your order on and in this case then if you lose they get the lot.
However, ECNs may be dinhonest as well, though ECN is much less risky so they should not need to. In the end though you have to check the individual companies record carefully, which is why the FPA is so important!