How JustAnswer Works:

  • Ask an Expert
    Experts are full of valuable knowledge and are ready to help with any question. Credentials confirmed by a Fortune 500 verification firm.
  • Get a Professional Answer
    Via email, text message, or notification as you wait on our site.
    Ask follow up questions if you need to.
  • 100% Satisfaction Guarantee
    Rate the answer you receive.

Ask Jo C. Your Own Question

Jo C.
Jo C., Barrister
Category: Law
Satisfied Customers: 30929
Experience:  Over 5 years in practice
12826847
Type Your Law Question Here...
Jo C. is online now

To an expert - barrister of legal specialist- on contract

Customer Question

To an expert - barrister of legal specialist- on contract law and criminal financial online fraud on trading platform.
Hello
This is a new question.
On 6th April this year a Binary Options online trading platform lost me over $300,000 - all my capital in their account - in one day.
Their trading office was located in London, and I communicated with their chief trader by phone, with emails to summarise our conversations re agreed trading strategy, and she was responsible for trading my account, directly and using her team of traders.
My loss arose due to 3 rogue traders, not following the instruction of the company's chief trader, who was in charge of trading my account, and they were subsequently fired.
There was no discretionary trading agreement offered or signed by me for the company to trade on my behalf, though my emails recorded the trading / risk management rules we agreed over the phone to trade my account. These rules -as evidenced by my emails -were broken.
On 26th May this year, the company agreed through the chief trader to place $100,000 as a bonus capital to my account for the chief trader to trade my account again and hopefully recover my lost money of $300,000+.
However, I subsequently queried why no trading since then had taken place, and was told it was due to Brexit unsettling the markets, and then the company moving its London office to Cyprus in July, where they were hoping to apply for regulation of binary options trading from the CySec regulator, which has always been their plan - i.e. to become regulated - since August 2015, when I joined them.
However, I then received an email from their complaints dept. 3 weeks ago saying there would be no recovery trading by them - I had to do the trading, which I refused, and spoke to my chief trader.
The company gave the reason as having to use compliant protocols in readiness for making their application for regulation.
My chief trader however was able to persuade senior management - given how the company lost my money through their rogue traders - to change their minds, and I received an email today from the company, as copied in below.
The email confirms they will now trade on my behalf - given a signed power of attorney - but only on the basis that I sign a disclaimer, that should the trader lose my capital, I forfeit any right to claim against the company.
Given that the company lost my money in the first place - by breaking written down very clearly summarised rules, as recorded by my emails - I agreed to giving them the opportunity to recover the money through trading - since they NEVER offered to refund the monies, nor even acknowledge what had happened and how they were responsible - other than the chief trader, but only verbally over the phone.
I was worried - and still am - that they were fraudsters, having been defrauded at the same time - see next paragraph.
I say this since binary option companies have a VERY bad reputation and are 99% unregulated. I have already been the victim of fraud for a serious amount of money from these companies, 2 of which I have reported to the police, Action Fraud and the NFIB - all of whom have warned me over the danger of dealing with these companies.
I would like to respond to their email by saying:-
Why they never acknowledge the loss of $300,000 due to their rogue traders which they then fired.
that my agreement to the company to trade a recovery strategy for me was to give them the opportunity to mitigate their liability, since otherwise they should have refunded me $300,000+ loss at the time. Presumably they might have indemnity cover for such contingencies?
by now asking me to sign a disclaimer they are asking me to forfeit my right for compensation due to their fault, and after my acting in good faith by giving them a chance to recover the monies by themselves trading my a/c rather then paying me these monies outright. This would take 6 months to a year - again a sacrifice I was willing to make (given I was fearful of ever getting the money back any other way).
I know it would cost about £15,000+ to take them to court.
Also now that they are in Cyprus are they out of the UK jurisdiction? Their web-site is foreign owned and managed, as this is the way they can still operate in the UK - legally, without being registered with the Gambling Commission - i.e. a loop hole. The FCA currently do not regulate binary options trading.
I believe my strongest practical action to the company would be to threaghten to report them NOW to CySec - the regulator for binary options trading for al the EEC countries - including the UK, which would still require the FCA to grant a passport to the company, given they had CySec approval first.
If I did - could my case TRULY influence CySec to refuse their application for regulation due to MY complaint?
I would be very grateful for your guidance over this.
Mark 18th August 12.20 am
Email received today
Submitted: 3 months ago.
Category: Law
Expert:  F E Smith replied 3 months ago.

How much money did you initially invest?

Where is this company based?

Customer: replied 3 months ago.

Hello

Thank you for offering your assistance, and my apologies for the delay in coming back to you.

I have typed a comprehensive reply to you, and rung Just Answer, since I was concerned over confidentiality, and not disclosing the company's details to everyone on the Just Answer web-site.

I was advised therefore to send you my reply via attachment to their support email address, and they will forward this to you.

I hope this is alright with you, and will await your advice.

Thank you.

Mark

16.45pm 18th August















Expert:  F E Smith replied 3 months ago.

That’s not a problem. I will post up again when I have the attachment. Best wishes.

Customer: replied 3 months ago.

Hello again

I had not heard from you, so I have been chasing up Just Answer, since they have not been able to locate my email with my attachment, despite sending it twice to***@******.***, and also to info.email@ justanswer.co.uk, and today to***@******.***

I am now waiting to hear from Just Answer to confirm you have received it - and will then hopefully hear from you again given this delay.

Thank you.

Mark 21.52pm 22nd August

Expert:  F E Smith replied 3 months ago.

To speed things up, as you have been waiting for some time, please send it to projectsnumberone at gmail com

Thanks.

What Customers are Saying:

 
 
 
  • Thank you so much for your help. Your answers were really useful and came back so quickly. Great! Maggie
< Previous | Next >
  • Thank you so much for your help. Your answers were really useful and came back so quickly. Great! Maggie
  • A quick response, a succinct and helpful answer in simple English. I believe I can now confront the counter party with confidence -- worth the 30 bucks! Rick
  • Wonderful service, prompt, efficient, and accurate. Couldn't have asked for more. I cannot thank you enough for your help. Mary C.
  • This expert is wonderful. They truly know what they are talking about, and they actually care about you. They really helped put my nerves at ease. Thank you so much!!!! Alex
  • Thank you for all your help. It is nice to know that this service is here for people like myself, who need answers fast and are not sure who to consult. GP
  • I couldn't be more satisfied! This is the site I will always come to when I need a second opinion. Justin
  • Just let me say that this encounter has been entirely professional and most helpful. I liked that I could ask additional questions and get answered in a very short turn around. Esther
 
 
 

Meet The Experts:

 
 
 
  • Jo C.

    Jo C.

    Barrister

    Satisfied Customers:

    30316
    Over 5 years in practice
< Last | Next >
  • http://ww2.justanswer.com/uploads/EM/emus/2015-7-7_192327_bigstockportraitofconfidentfemale.64x64.jpg Jo C.'s Avatar

    Jo C.

    Barrister

    Satisfied Customers:

    30316
    Over 5 years in practice
  • http://ww2.justanswer.com/uploads/BE/benjones/2015-12-1_0437_ennew.64x64.jpg Ben Jones's Avatar

    Ben Jones

    UK Lawyer

    Satisfied Customers:

    11553
    Qualified Solicitor - Please start your question with 'For Ben Jones'
  • http://ww2.justanswer.com/uploads/BU/Buachaill/2012-5-25_211156_barrister5.64x64.jpg Buachaill's Avatar

    Buachaill

    Barrister

    Satisfied Customers:

    1754
    Barrister 17 years experience
  • http://ww2.justanswer.com/uploads/JO/jojobi/2013-3-19_0265_maxlowryphoto.64x64.jpg Max Lowry's Avatar

    Max Lowry

    Advocate

    Satisfied Customers:

    894
    LLB, 10 years post qualification experience
  • http://ww2.justanswer.com/uploads/UK/UKLawyer/2012-4-12_9849_F2.64x64.jpg UK_Lawyer's Avatar

    UK_Lawyer

    Solicitor

    Satisfied Customers:

    750
    I am a qualified solicitor and an expert in UK law.
  • http://ww2.justanswer.com/uploads/KA/Kasare/kasare.64x64.jpg Kasare's Avatar

    Kasare

    Solicitor

    Satisfied Customers:

    402
    Solicitor, 10 yrs plus experience in civil litigation, employment and family law
  • http://ww2.justanswer.com/uploads/OS/osh/2015-7-7_19268_gettyimagesb.64x64.jpg Joshua's Avatar

    Joshua

    Lawyer

    Satisfied Customers:

    8199
    LL.B (Hons), Higher Prof. Dip. Law & Practice