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  1. Scam Investigations Committee

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    We the members of the Scam Investigations Committee of the Forex Peace Army have deliberated on all the evidence available to us and have reached a conclusion. It is our opinion that...

    FPA member Stevesmain complained to us back in February that he was having trouble with FxTechTrading canceling trades. He said that the bulk of these trades fell within the terms listed on the brokers website at the time. A few trades fell outside those terms. Stevesmain tells us he did not knowingly violate the terms, since he believed the broker's advertising that said all trading styles were welcome. Even so, he was willing to give up those trades.

    Efforts were made to handle this quietly. A review was moved back to the moderation queue to help smooth negotiations. That didn't prove to be enough, so the review was reposted and the investigation was made formal.

    Fx Tech Trading claimed to have a taped call where Stevesmain admitted he knowingly violated the brokerage's anti-scalping rules. They even claimed to have transferred a copy to FxTrading, the IB that Stevesmain originally dealt with. So far, no such recording has been turned over to us.

    Stevesmain is also a victim of one of those long delayed compliance audits. He'd been trading with them for some time without an issue. Then FxTechTrading decided to give his account an audit.

    While all of this arguing was going on, FxTechTrading tightened their anti-scalping rules further. Finally, they agreed to pay the amount for trades that met their new rules. Stevesmain and FPA Investigator Ken agreed that this would be a reasonable first step, but would not be an end to the negotiations. FxTechTrading had other ideas.

    When negotiations with FxTechTrading broke down, FxTrading's president stepped in. He did offer to pay a modest percentage of what was owed, but then became harder and harder to communicate with after Stevesmain said he wanted the full amount owed.

    Failure to pay money legitimately owed to a trader is the FPA's first definition of scam. We also find the many months of stalling on this issue by FxTechTrading to be unethical. Thus, FxTechTrading is hereby blacklisted by the Forex Peace Army. We urge traders to not do business with this company. We urge anyone who has an account with this company to withdraw all funds immediately.

    We offer Fx Tech Trading an options to have this scam finding lifted. They need to pay all money that is owed under the trading agreement that was in force at the time the trades were placed. Further, we would want them to apologize to Stevesmain and Ken for wasting so much time on this issue.

    We have mixed feelings about FxTrading's involvement in this case. They are the IB who introduced Stevesmain to this broker we now consider to be a scam. Further, they remain an IB of this broker at this time. Their president did attempt to resolve the issue, but then failed to follow through on further negotiations. We feel that FxTechTrading did not do a good job at backing up a client that was being abused by a brokerage. At this point, we issue a very strong caution about dealing with FxTrading.

    We wish to thank FPA investigator Ken for his long efforts on this case. We thank Stevesmain for sticking to negotiations in an upright and honorable fashion throughout his ordeal. We further extend our sympathies to him for his losses and encourage him to seek legal restitution through all available means.



    Discussion Thread for this Scam Finding

    Stevesmain's Original Complaint

    FPA Review Page for FxTechTrading.com

    FPA Review Page for FxTrading.com


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    #1 Scam Investigations Committee, Jul 29, 2009
    Last edited: Jul 29, 2009

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