I am yet another Banc de Binary (BDB) scam system victim

wildwaterz

Private
Messages
10
Hi guys,

First of all, I must say I am so thankful for finding this website. As many others experience, I actually lost money (BORROWED!) with Banc de Binary and too felt physically sick. In some way, I found "comfort" in knowing I was not the only one and by far. My story is pretty much the same as everybody else's but here is the breakdown of how it happened.

I discovered Banc de Binary as a trusted broker from the signal provider "Trading Toolkit". The two reasons that pushed me towards them was the fact that they had a mobile app which I found useful, and also that they were running a promotion of 3 risk-free trades up to your deposit value (you see the trap here?).

So at first, I deposited the minimum, 250$ USD, which I played around with the signals I was getting from trading toolkit. As everyone else, I won some, lost some. Then THAT phone call came in. Dennis Gallo was my account manager. We exchanged a bit about the 3-risk free trades promotion, which he agreed to give to me. He mentionned that I should deposit 5,000$ USD to take full advantage of that promotion, because anyway, its protected! (ain't that magically great!). In some way it made sense to me. Worst case I withdraw my 5k$, best case I make about 3k$ profit! Dennis even topped my account with a bonus of 1,250$ USD! How generous of him.

So I filled all the required paperworks and here I was with an account at 6,250$ USD. Dennis began to talk to me about that big event coming, the NFP (non-farming payrolls) published by the US department. He told me that this is a major money-making event, and it happens once a month. This was about 10 days from the moment I funded my account with the 5,000$ through my credit card.

Then Dennis contacted me to tell me that there is a mini-event happening now and that we could trade my protected 5,000$. So I joined him. He actually told me OVER CHAT ON SKYPE what to trade (2 put and 1 call) and I lost 2 and won 1. So I was up by about 700$. I told him I wanted to remove my initial 5,000$ as it was now unprotected, but he told me that I needed to have at least 5,000$ in my account to be at the BIG NFP event coming next friday. He told me that he would add another 1,000$ bonus in my account to make me feel safe. At this point my account is at around 8,100$.

Then that moment arrived (not even the NFP event!), last tuesday september 29th, he calls me to tell me that there is another mini-event right now and that I should jump on the occasion. However, this time, he calls me over the phone because we need to act fast when placing trades (which made sense to me). We began trading at 1,000$ then down to 500$ then down to 250$, then down to 100$ (as he was seeing my account depleting). And the worst part?!?!?? It all happened within 15min or so. I went from 8,100$ USD to about 600$ at which point he transfered me to his personal trader to "make sure I was placing the trades correctly". The pattern repeated with the other guy and he cleaned me out from my remaining 600$.

Afterward, he told me that Dennis would meet with the recovery department and that they will come up with a plan to recover my money. I have not heard from them yet (it has been 2 days), but after what I read, it is obviously only a plan to have me invest more money again.

I have lost borrowed money, which also made me physically sick... As it might not seem alot to some people, I have never been this much in debt because of this. I have to take a loan to refund my credit card since the load interest rate will be lower than my CC. I read some of you suggested to call the CC company (Visa) and ask for a charge back but I'm not sure I understand how I can explain this to them? I feel that they will simply see this as a "you tried your luck and lost" kind of situation. Am I wrong?

I already spoke with AMF (local financial authority in Quebec, Canada) and they confirmed me that there is nothing they can do about it since the company is located in Cyprus. They however suggested I spoke with the police in case of identity theft (since I sent Banc de Binary my documents to verify my account, like driver liscence, utility bill and CC). I will also file a complain with Cysec and the Cyprus Ombudsman, although I feel that their punishment is somewhat weak (last time it was a fine of 22,000 euros... really? thats probably what they scam in one morning!). Anything else?

I have exported my skype chat with dennis gallo (the manager) so at least I have proof of him advising me what to do at least once (which I believe is illegal?). I also have 300$ left in my BdB account (becuase I was trading on signals that same day before they cleaned me out). Aside from trying to withdraw it, is there anything else I could try with this to lure them out or something?

Bottomline, as many others said... Stay away everyone!
 

feaisland55

Corporal
Messages
109
Wildwaterz--it makes a lot of sense to call your creditcard and protest the charge if it was fraudulent, demanding a "chargeback" against BdB! only problem i see is that it sounds like your losses happened after you made your 3 "risk-free" trades--if that is the case then the fraud aspect would not be as clearcut to the creditcard (or to any regulatory agency), but nothing is hurt by trying! Good luck to you!--feaisland55
 

feaisland55

Corporal
Messages
109
Wildwaterz--you're from quebec[that's part of canada, n'est-ce pas?], so i meant to say also: i think there is a canadian regulatory agency that actually refunds moneys to ripped-off forex traders. i am forgetting the name right this second but it might be worthwhile for you to research!--feaisland55
 

wildwaterz

Private
Messages
10
Thanks feaisland55 for the reply!

So far, the most relevant companies to my case are the AMF (which I have already contacted) and the Antifraud Center of Canada. As mentioned previously, the AMF is declaring that they can't help me since the company I dealt with was not registered on their list of authorized company to operate in Quebec. The AMF is also the only company I found so far that has a section on getting indemnification. But once again, since I used a company that is not on the AMF list of authorized businesses to operate in Quebec, I cannot fill a request.

On the other side, when I called the Anti fraud Center of Canada, the woman was kind and asked me to send her information on the company I dealt with, along with the reasons as to why I feel I was frauded. I just sent that email so I will update my story as it develops.

I was also contacted by PhoenixAdvisors in regards to recovering my money. After reading their involvement on many threads here on the FPA forum, I scheduled an appointment to talk with them over the phone and assess the situation.
 

wildwaterz

Private
Messages
10
Here is an interesting development to my story...

As many of you suggested I contacted my credit card company to explain them that I feel I was wronged in the way that Banc de Binary's account manager advised me. The representative opened a case and decided we could go ahead and dispute the charge (and will not be labeled as a "Fraudulent charge"). He said that I would get the chargeback on my credit card and if Banc de Binary doesn't prove that they are innocent, I will get to keep my money without even having to give them anymore proofs. If they do fightback however, I will forward them my discussion on Skype with the account manager Dennis Gallo.

As I mentioned in my original post, I have written proof that the account manager actually told me to bet on what and for what amount, which I believe is illegal from what I have read somewhere on this forum. Can anybody confirm this for me? Is it actually illegal for a financial advisor to tell you exactly what to do and for a specific amount of dollars? I also have the call history that lasted about 30 min (where I lost all my money) but I did not record the call.

Any help would be greatly appreciated!
 

Pharaoh

Colonel
Messages
19,959
Credit card chargebacks are one of the few effective weapons against these brokers. Of course, only a few people go to the time and effort and not all banks are cooperative, so this sort of scam can continue even with some people recovering their deposits.

Go ahead and file a complaint with Cysec and also email the Cyprus Financial Ombudsman: complaints@financialombudsman.gov.cy

Do this soon. I see signs that BDB may be preparing to move to an even weaker regulator.
 

henyo

Master Sergeant
Messages
438
I have my fingers crossed, do let us know how it goes and may this serve as a reminder and warning for others.
 

wildwaterz

Private
Messages
10
Hi all,

this is just an update after a few weeks. It is now about 3 weeks after the credit card company refunded me my money and I have not heard from them, meaning that so far Banc de Binary did not bothered to contest the chargeback issued by my credit card company. So all in all, great news on that end. Also, I did sent my documents and story to the Canadian anti-fraud center about 3 weeks ago but I have not heard back from them either. However, it is a federal entity so I'm assuming that any processing will take an unusually long time.

Lessons to be learned from this are:
- Never trusts someone who is trying to make you act quickly, without giving you the opportunity to stop and think about what you are doing. (that's pretty much how they "advised" me on buying options).
- Don't underestimate the capability and willingness to help from credit card companies. (I was quite surprised at how smooth it all went).
- Always record as much as you can (audio and/or chat history) when dealing with an adviser.
- If you found help by reading others' stories and experiences, share yours and update it, as it could come handy for someone like us eventually.
 

Pharaoh

Colonel
Messages
19,959
Special note to anyone who says "It's not worth my effort to try to file a chargeback" - Your lack of effort is GIVING your money to scammers without a fight. Wildwatersz has proven that a calm approach with evidence can give you a good chance of recovering your credit card deposit.

Wildwaterz, congrats on a chargeback success!
 

wildwaterz

Private
Messages
10
Here is an update on my situation.

So I did received the charge back as mentionned. It has been now almost 8 weeks since the chargeback, and here I was thinking I steered clear of any problems. Well I got a call last friday by the Visa credit card company, only to learn that they have JUST OPENED my case and that they are about to contest the charges to the other party (Banc de Binary in this case).

So, thank god I kept my Skype conversation records, as it is almost my only proof, aside from the documents we sign when we open the account. But now, the person in charge of my contest needs me to provide an explanation as to why we are going to contest, I need an angle of attack. It is not fraud as I provided my credit card and deposited the money voluntarily. The only logical answer I would have would be for a service/promise not rendered, as the banc de binary "advisor" kept on telling me how much money I would make on the big US Non-farm payroll publication event (first friday of every month), when in fact they made me lost all my money even before that friday (3 days earlier, on a tuesday).

Does that make any sense?

@PhoenixAdvisorsLtd any thoughts on this?

Thanks guys for the support!
 
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