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BMFN (Boston Merchant) SCAM

Discussion in 'Scam Alerts' started by ibham1, Mar 2, 2012.

  1. ibham1

    ibham1 Private, 1st Class

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    I opened an account with BMFN in August 2010. I successfully managed to withdraw $6,000 in November 2010 and a further $9,000 in May 2011. However, when I attempted to withdraw a further $6,000 in January 2012 I received an email stating my account has been “deactivated and closed due to system abuse.”

    The email highlighted a section from their terms and conditions stating BMFN had the right to cancel all profits due to inaccurate pricing. I contacted them on many occasions demanding proof as I could not believe every single trade I placed over an 18 month period was affected by constant BMFN system failure. I have not been provided with any evidence whatsoever.

    My account equity was over $20,000 when my account was deactivated. I have experienced this previously with another broker, if the client consistently makes money, the broker will use some generic clause in the terms and conditions to deny the trader his\her profits – the broker will also refuse to provide the trader with evidence as to why the trades were cancelled.

    I am confident, with the help of FPA, I will receive all my funds from this broker aswell.
     
  2. Pharaoh

    Pharaoh Colonel

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    Submit a 1 star review. When it's approved, send a link to this thread and to the review page to BMNF. If they still won't respond, open an FPA Traders Court case.
     
  3. ibham1

    ibham1 Private, 1st Class

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    I have now sent BMFN an email making them aware of this thread and the broker review. I will provide an update if I receive a response.
     
  4. ibham1

    ibham1 Private, 1st Class

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    I received a long winded email implying I was a crook. This is the last paragraph of the email:

    Lastly, no funds will paid to you by BMFN as none are rightfully due. In fact,
    funds are owed to BMFN by you. As such the time and cost associated with
    involving a third-party to resolve this dispute are of no concern to BMFN
    should you decide to continue down that path. Again, BMFN has acted in
    accordance with the terms and conditions contained within your Client Agreement
    and any frivolous actions taken by you (which is contractually obligated to be
    submitted to particular arbitrational courts)against BMFN will be met with a
    prompt and competent counterclaim for the return of all trading profits
    withdrawn by you.
     
  5. Pharaoh

    Pharaoh Colonel

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    Can you please post the entire email.

    I wonder if this means that BMNF considers traders sharing their personal experiences with a broker online to be a "frivolous action".
     
  6. ibham1

    ibham1 Private, 1st Class

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    This is the entire email:

    Sir:

    BMFN is aware of the posting. You have received numerous responses from BMFN on
    this issue. No funds will be credited to you. BMFN is confident in its actions
    and its records regarding your account activity and will not only defend some
    actions in the applicable arbitration venue, but more over, will seek return of
    the funds withdrawn by you. I will simply reiterate one of the numerous emails
    sent to you on this subject.

    Again, as stated in my email of February 8th, your account managed to exploit a
    pricingdelay in our system whereby your account traded unavailable market
    prices or pricing that was to be greyed out, allowing you to profit on approx
    85-90% of your trades. Once realized, such funds were reclaimed and demands were
    made for return of any withdrawals above and beyond your deposit totals. This
    action was taken all in compliance with the terms and conditions of your Client
    Agreement.

    BMFN has and will continue to accommodate and work with clients who have valid
    complaints and/or issues with our services or products. That being said, you
    systematically preyed on our system over an extended period of time resulting
    in enormous profits and a successful trade rate nearing perfection. Profits
    realized are not rightfully yours as all activities are governed by
    your Client Agreement which clearly states the terms agreed to with regards to
    delayed pricing. BMFN's Client Agreement is structured to protect BMFN and
    ensure that clients who, whether knowingly or inadvertently, are able to trade
    inaccurate or delayed pricing are not able to unfairly profit from such system
    issues. Just as BMFN would credit a client should an issue in the system result
    in trading losses, BMFN is also contractually authorized to debit a client
    should a system issue result in trading profits.

    Lastly, no funds will paid to you by BMFN as none are rightfully due. In fact,
    funds are owed to BMFN by you. As such the time and cost associated with
    involving a third-party to resolve this dispute are of no concern to BMFN
    should you decide to continue down that path. Again, BMFN has acted in
    accordance with the terms and conditions contained within your Client Agreement
    and any frivolous actions taken by you (which is contractually obligated to be
    submitted to particular arbitrational courts)against BMFN will be met with a
    prompt and competent counterclaim for the return of all trading profits
    withdrawn by you.


    Sincerely,

    Compliance Department
    Boston Merchant Financial, Ltd.
     
  7. Pharaoh

    Pharaoh Colonel

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    I have an idea for you Ibham. It's risky, since juries and judges can be a little unpredictable at times. It will also involve some expense, and I hope you've got detailed records of all of your trades.

    Hire a lawyer. File a civil claim against BMNF for your funds. Challenge them to prove their case in a court of law.

    Does BMFN really want to explain how a trader managed to somehow magically force a broker to execute trades at off market prices that they said were NOT available?

    How long will brokers keep using that lame excuse? Personally, I don't want to have an account with a broker that allows other traders to manipulate the price feed. How can I know if the prices I'm trading at are real or not.
     
  8. RahmanSL

    RahmanSL Major

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    BMFN data (derieved from 100forexbrokers.com site):

    • Year since: 2007
    • Headquarters: BMFN - Russian Federation
    BMFS - Boston, United States
    • Company registration: Boston Merchant Financial Ltd, Russia
    Regulation:Australia ASIC #379035;
    Russian FFMS #1220;
    Bulgaria FSC MIFID BGR00195 and RG 03 220.

    ASIC regulated?? Really??

    Well, there is a nice BMFN representative in Australia by the name of “Noah” who posted at the FPA Brokers Reviews section on 12-Sep-2011 stating:
    Fellow traders and investors,
    I work for BMF in our Sydney offices and will be BMF's contact person for FPA forum.
    If anyone has any queries complaints, or suggestions please feel free to contact me directly [B]noah@bmfn.com.au[/B] or via telephone: (+61) 2 8095 7969
    .”

    Give Noah a tinkle to see what’s cooking over at BMFN and not forgetting to provide him a link to this post (as he might have forgotten where the FPA is since he, being z contact person for FPA forum, is not here since that first & last post)

    There seems to be a hell lot of complaints at FPA forex brokers reviews on BMFN of a similar nature to this post resulting in a 2.5 star rating.
     
  9. ibham1

    ibham1 Private, 1st Class

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    Thanks Rahman, I have emailed Noah to make him aware of this thread.
     
  10. lars5

    lars5 Recruit

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    Enable withdrawal ??

    Did somebody perform a withdrawal last time ?
     
: bmfn, ffms

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