Problem liteforex scam warning

[dubaiscam]

Hi guys,I've found the following info on this firm:
1) LiteForex service mark and Forex | Forex Trading | Currency Trading | CFD | Gold | MetaTrader MT5 | LiteForex.com web-site are governed by Straighthold Investment Group Inc., registered resident of Seychelles, according to the terms of the International Business Companies Act, 1994 (Act 24 of 1994).
2)LiteForex service mark is registered in the United States Patent and Trademark Office under the serial number 78863864 and registration number 3255556. The owner of the LiteForex service mark is Straighthold Investment Group, Inc.
3)Straighthold Investment Group, Inc. activity is regulated by Seychelles International Business Authority, company is registered under the ref. number 036925.
4)liteforex, uwcfx, instaforex, forexhunt are all the same company
5)RAFMM is the regulatory authority.

 

[BigT1]

Correct,
These entities are members of the voluntary SRO (Self-Regulatory Organization) RAFMM.
This is not a governmental regulator, but more an industry association whereby the members agree to be self-governed.
They have an Internal Arbitrator that does have the authority to find for the client and force a member to make restitution under pain of expulsion, but nothing more.
Indeed, this is more authority than say CySec has, by law; but remember the arbitrator is a hired hand of the regulated members.
By all means file greivences with them, when appropriate; since these firms crave legitimacy as the only tool to a future expansion.
Find them here:
The Russian Association of Financial Markets Members (RAFMM)
.
AI

 

[Thai_trader]

Correct,
These entities are members of the voluntary SRO (Self-Regulatory Organization) RAFMM.
This is not a governmental regulator, but more an industry association whereby the members agree to be self-governed.
They have an Internal Arbitrator that does have the authority to find for the client and force a member to make restitution under pain of expulsion, but nothing more.
Indeed, this is more authority than say CySec has, by law; but remember the arbitrator is a hired hand of the regulated members.
By all means file greivences with them, when appropriate; since these firms crave legitimacy as the only tool to a future expansion.
Find them here:
The Russian Association of Financial Markets Members (RAFMM)
.
AI

You are saying RAFMM has more authority than CySec?

The new broker I have moved to has the follow...

Provides its services according to the strict financial standards prescribed by its chief regulator, the Cyprus Securities and Exchange Commission (CySEC), where it is registered under the license number 120/10;
Is authorized by the Financial Services Authority (FSA) UK (licensed under 538324)
Has full EU-authorization, including
BaFin (Bundesanstalt für Finanzdienstleistungsaufsicht), Germany, under registration number 124161,
CNMV (Comisión Nacional del Mercado de Valores), Spain, under registration number 2010157773,
AFM (Autoriteit Financiële Markten), Netherlands,
FI (Finansinspektionen), Sweden,
FIN (Finanssivalvonta Finansinspektionen), Finland;
Embraces the investor protection measures described by the Markets of Financial Instruments Directive (MiFID);

Are all those regulatory bodies just for show?

 

[BigT1]

You are saying RAFMM has more authority than CySec?
The new broker I have moved to has the follow...
Are all those regulatory bodies just for show?

Hello again Thai_trader,
I am sad to report this is for the most part, true.
Here is the link to the CySec complaint report page.
Scroll to the bottom and see the conditions you must agree to in order to file a complaint.
Note: they ask you to agree:
"I understand that the CySEC has no authority to force a CIF to make any payments to me."
Cyprus Securities and Exchange Commission
.
Please read and reply.
Anthony Ingrassia, CTA
NFA ID#: 0278164
.
PS: If you want strong regulation, you have no alternative but to work with NFA or FSA Regulated firms, and with Registered Entities in the US or UK.
Sorry if this info dissapoints or comes as a surpise.
Better you learn before you are raped than after.
Learn to "KNOW YOUR FIRM" & "KNOW YOUR REGULATOR", as I have said a dozen times before.

 

[Thai_trader]

Hello again Thai_trader,
I am sad to report this is for the most part, true.
Here is the link to the CySec complaint report page.
Scroll to the bottom and see the conditions you must agree to in order to file a complaint.
Note: they ask you to agree that you understand they have no power to force a regulated entity to make payment to a client.
Cyprus Securities and Exchange Commission
.
Please read and reply.
Anthony Ingrassia, CTA
NFA ID#: 0278164

I understand that the CySEC has no authority to force a CIF to make any payments to me*:

Yes, it seems to have to agree to that to file a complaint. But surely all the other regulators that I listed from the broker;s website aren't all like this?

And Look at Global One from the US. Weren't they NFA regulated and look what happened with all their investors.

If a company becomes insolvent then no amount of regulators can squeeze blood from a rock. The one thing I have started to look for now is compliance with Markets of Financial Instruments Directive (MiFID). Under their directives the broker much pay into the investor compensation fund that insures the clients funds up to 20,000 euro per client in the case of broker insolvency.

 

[BigT1]

Yes, it seems to have to agree to that to file a complaint. But surely all the other regulators that I listed from the broker;s website aren't all like this?
. . . . If a company becomes insolvent then no amount of regulators can squeeze blood from a rock. The one thing I have started to look for now is compliance with Markets of Financial Instruments Directive (MiFID). Under their directives the broker much pay into the investor compensation fund that insures the clients funds up to 20,000 euro per client in the case of broker insolvency.

Broker Insolvency is not the same as broker fraud.
MIFID is a Directive only.
There is no assurance any given firm either complies with it, nor does it have any impact on your individual claim, in the event of a dispute.
What firm are you discussing?
What regulator is responsible for that firm?
What country are you in?
All these question impact the options you might have in the event of a dispute.
.
I am no champion of firms regulated by RAFMM, but I have seen too many rely on a Greek Fig Leaf to not point out how weak is CySec regulation.
.
AI

 

[Thai_trader]

I'm in Thailand. The firm is XEM (trading point) and they are regulated by all the ones I listed a few posts up. That is there regulation numbers in that post. And the investors compensation fund is insurance like fdic.

http://www.xemarkets.com/regulation

 

[BigT1]

I'm in Thailand. The firm is XEM (trading point) and they are regulated by all the ones I listed a few posts up. That is there regulation numbers in that post. And the investors compensation fund is insurance like fdic.

Yes, like FDIC. If your firm goes bankrupt, there is some relief for small accounts; but provides no assistance against fraud against an individual client while the firm remains in business.
.
But what does all this about your firm got to do with LiteForex and Mohammad Stateh's issue, the purpose of this thread?
If you have an issue with XEMarkets, open a seperate thread.
.
AI

 

[BigT1]

Mohammad Stateh,
Give us a progress report.
What is the status of the issue with Liteforex?
AI

 

[mohammadstateh]

i am so sorry for the late ... but i have been 4 days trying to connect with any one inside the company ... but no respond at all