One more
Hi
Similar story here, I have been trading news with Dustin for about 8 month and actually had a good impression of him. I stopped newstrading and opened a managed account with InterbankFX in August 2007. I started with $11000 and right now we have a Balance of $17650 and Equity of $4600
Now yesterday at the same time I have received the two mails (see text below) from IBFX and from Dustin Pass. It looks like for some reason they don't get along anymore and just let their customers hang in the deep red accounts.
Can they really legally do that or is there anything I can do about this mess?
Hope you can help me in this matter. Thanks.
Ernst
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Following mails from IBFX and Dustin Pass and current Account Statement
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Dear IBFX Client,
You are receiving this email because you have executed a Limited Power of Attorney (LPOA) authorizing Dustin Pass to trade spot foreign exchange in your account. As you may be aware Dustin Pass and Interbank FX have discontinued their Introducing Advisor and Money Manager relationships. Due to this action we are no longer accepting deposits into your account and you need to prepare to close open positions in your account. We wish to remind you that, in accordance with the terms of the LPOA that you have executed, you have instructed Interbank FX to execute all trades directed by Dustin Pass for your account and, further, you have agreed that Interbank FX will not be liable for any losses that you may incur as a result of Interbank FX following such instructions. Interbank FX has contacted Dustin Pass and given instructions to close open positions, for accounts which he manages, at the best opportunity within the next 5 business days (by 7/10/08). Any open positions that remain after 7/10/08 will not be managed and may be closed at Interbank FX discretion.
We encourage you to evaluate your account and review your options at this time. Dustin Pass does continue to retain the right to trade your account, until you send in the revocation of LPOA form, or Interbank FX takes action to close your trades and remove funds to a new account. Therefore if you don’t revoke your LPOA immediately, contact Dustin Pass to determine if he plans to continue to monitor your open positions and to close them at the best opportunity before 7/10/08.
After review of your account you need to make one of three choices.
1. You can revoke your LPOA by sending in the attached Revocation of Limited power of Attorney Form. This will close all open positions on your account within one business day at current market. Your current account will be closed and funds will be transferred into a new account.
2. You can move current open positions to a new account and self direct or manage the account with your current open positions. If you would like to exercise this option we would need you to send in the attached Managed Account Transfer Form as well as contact Dustin Pass to inform him not to close your current open positions. If you would like to exercise this option we must receive the Managed Account Transfer Form
before 7/8/08. The transfer will take place within 48 hours and you will be emailed new login information to allow you to self manage your account. If for some reason you have concerns over your accounts open positions before the transfer date takes place you would need to exercise option number one above.
3. If you don’t exercise any of the above options you desire your account to continue to be managed by Dustin Pass and allow him to close your open positions before 7/10/08. Any open positions that remain after 7/10/08 will not be managed and may be closed at Interbank FX discretion.
If you have questions concerning the options discussed in this email please call customer service at 1-866-468-3739 and we would be glad to help. Any questions concerning Dustin Pass and trading activity in your account would need to be directed to Dustin Pass.
Regards,
Dale Brown
Institutional Sales Manager
Direct: 801-930-6800, ext 6807
Toll Free: 866-468-3739, ext 6807
Fax: 1-212-884-0609
dale.brown@ibfx.com
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Dear InterbankFX Managed Account Client:
InterbankFX has recently created new policies that required all their Introducing Brokers (IB) to be registered by the 30th of June. We are currently registered as a CTA and are pending registration as an IB. The NFA has given a deadline of September 19 which we will easily meet. InterbankFX has, in its sole discretion, chosen to terminate its agreement with Traders Network which includes the management of your funds. As you know several months ago there were some account allocation issues which lead to margin calls on several accounts. These issues were not resolved by InterbankFX. Because of this I no longer felt comfortable sending new business to them and have been working to move all existing business elsewhere.
To make a long story short I have not sent them business in around 6 months, however, they are still required to pay me on the prior business that I sent unless the contract between IBFX and Traders Network is breached. They have conveniently created new policy as well as interpreted existing policy in a way that allows them to terminate me as an IB and release them from their responsibility to continue to pay me on old business.
InterbankFX is carrying this out without consideration of the affect it will have on existing managed clients. In fact originally they were going to liquidate all positions and the clients were going to have to take the losses. I have since convinced them to give the client the option to take over management of the trades or have them liquidated. This was only after several attempts to convince them to allow me to continue managing the accounts for free until we could manage out of the existing trades however they have denied this request as well. It is obvious that they do not have the client’s best interest in mind.
You should expect to receive an email from InterbankFX in the near future that will let you know your options and what will need to be done in order to exercise the different options. If you would like me to continue to manage your account you can transfer the balance to FXCM and it will be managed utilizing the Bank Flow system. No performance fee will be charged until your initial investment has been recouped.
I will have control of the account through July 11th after which you will need to self manage or close your account down.
Regards,
Dustin Pass
Traders Network
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Interbank FX, LLC
A/C No: xxxxxx Name: xxxxx xxxxx Group: 4xmaker_sub 2008 July 3, 20:59
Closed Transactions:
Ticket Open Time Type Lots Item Price S / L T / P Close Time Price Commission R/O Swap Trade P/L
5385528 2008/07/02 13:05 sell 0.04 eurusd 1.5861 0.0000 0.0000 2008/07/03 11:36 1.5906 0.00 -0.94 -18.00
0.00 -0.94 -18.00
Deposit/Withdrawal: 0.00 Credit Facility: 0.00 Closed Trade P/L: -18.94
Open Trades:
Ticket Open Time Type Lots Item Price S / L T / P Price Commission R/O Swap Trade P/L
4882850 2007/10/23 14:18 sell 0.14 eurusd 1.4273 0.0000 0.0000 1.5705 -1.40 -94.49 -2004.80
4890312 2007/10/26 13:48 sell 0.08 eurusd 1.4371 0.0000 0.0000 1.5705 -0.80 -55.11 -1067.20
5031618 2007/12/27 14:09 buy 0.07 usdchf 1.1434 0.0000 0.0000 1.0262 -0.61 44.06 -799.46
5032025 2007/12/27 17:31 sell 0.06 eurusd 1.4623 0.0000 0.0000 1.5705 -0.60 -49.99 -649.20
5032063 2007/12/27 17:31 buy 0.07 usdchf 1.1387 0.0000 0.0000 1.0262 -0.61 44.06 -767.40
5033353 2007/12/28 12:55 buy 0.03 usdchf 1.1302 0.0000 0.0000 1.0262 -0.27 18.66 -304.04
5036791 2008/01/02 12:46 buy 0.04 usdchf 1.1262 0.0000 0.0000 1.0262 -0.36 23.98 -389.79
5037710 2008/01/02 16:26 buy 0.04 usdchf 1.1181 0.0000 0.0000 1.0262 -0.36 23.98 -358.22
5043565 2008/01/07 02:18 buy 0.02 usdchf 1.1095 0.0000 0.0000 1.0262 -0.18 11.25 -162.35
5051293 2008/01/10 12:42 buy 0.02 usdchf 1.1126 0.0000 0.0000 1.0262 -0.18 10.50 -168.39
5064538 2008/01/16 14:20 buy 0.03 usdchf 1.0912 0.0000 0.0000 1.0262 -0.27 14.86 -190.03
5064615 2008/01/16 14:25 buy 0.02 usdchf 1.0904 0.0000 0.0000 1.0262 -0.18 9.91 -125.13
5087834 2008/01/24 14:40 sell 0.04 audusd 0.8779 0.0000 0.0000 0.9605 -0.40 -72.15 -330.40
5088880 2008/01/24 19:42 sell 0.03 audusd 0.8799 0.0000 0.0000 0.9605 -0.30 -54.11 -241.80
5088929 2008/01/24 19:43 sell 0.04 eurusd 1.4759 0.0000 0.0000 1.5705 -0.40 -33.72 -378.40
5089101 2008/01/24 21:06 sell 0.03 audusd 0.8814 0.0000 0.0000 0.9605 -0.30 -54.11 -237.30
5100178 2008/01/30 19:21 sell 0.01 eurusd 1.4858 0.0000 0.0000 1.5705 -0.10 -8.44 -84.70
5217169 2008/03/24 15:10 sell 0.11 audusd 0.9058 0.0000 0.0000 0.9605 -1.10 -142.34 -601.70
5327684 2008/02/25 19:32 sell 0.21 audusd 0.9253 0.0000 0.0000 0.9605 -2.10 -336.31 -739.20
5328669 2008/05/21 22:33 buy 0.01 usdchf 1.0869 0.0000 0.0000 1.0262 -0.10 0.64 -59.16
5328710 2008/05/21 22:42 sell 0.03 eurusd 1.4718 0.0000 0.0000 1.5705 -0.30 -9.89 -296.10
5328743 2008/05/21 22:42 sell 0.15 audusd 0.9080 0.0000 0.0000 0.9605 -1.50 -88.20 -787.50
5328794 2008/05/21 22:42 sell 0.32 audusd 0.9254 0.0000 0.0000 0.9605 -3.20 -188.16 -1123.20
5328836 2008/05/21 22:43 buy 0.01 usdchf 1.0836 0.0000 0.0000 1.0262 -0.10 0.64 -55.94
5328872 2008/05/21 22:43 sell 0.01 audusd 0.8990 0.0000 0.0000 0.9605 -0.10 -5.88 -61.50
5328920 2008/05/21 22:43 sell 0.01 audusd 0.9253 0.0000 0.0000 0.9605 -0.10 -5.88 -35.20
-15.92 -996.24 -12018.11
Floating P/L: -13030.28
Working Orders:
Ticket Open Time Type Lots Item Price S / L T / P Market Price
No Transactions
A/C Summary:
Previous Ledger Balance: 17655.31 Floating P/L: -13030.28
Closed Trade P/L: -18.94 Total Credit Facility: 0.00
Deposit/Withdrawal: 0.00 Equity: 4606.10
Balance: 17636.37 Margin Requirement: 1630.00
Available Margin: 2976.10