Binary Options Scam
One victim’s story of how it happened:
A client from New Zealand was attracted to start trading binary options after seeing an online ad promoting software that could beat the market. The man didn’t intend on investing, but was curious and signed up with an initial investment of $260. His account manager informed the client that the company was regulated in the UK, which eased his concerns about using the platform and he began trading with the help of an account manager.
In the beginning, many of his trades won and he added more money to the account, taking capital from his savings and retirement fund. With the move to a VIP account, he was promised risk-free trades and guaranteed profits. He was also awarded bonuses, but the terms were not explained and the man regarded these amounts as gifts without conditions. After three months of trading, the man saw increasing amounts of losses in his account and it was suggested to the client to move over to Magnum Options, which was owned by the same company as Boss Capital. The account managers tried to get him to invest more, but he didn’t have the money to invest. Due to his refusal to invest more money, contact between him and his account manager became less and less, until she told him that she had been ill and hospitalized, which in fact was a lie.
Over the next four months the man struggled to communicate with the company. The client’s account balance had dwindled and he began to feel as if he had lost control of his money. The client was also massively disappointed when he learned the true terms of receiving bonuses, and understood that his remaining funds were trapped. At this point he asked to withdraw his remaining funds, but the client never saw his money. He spent the next two months emailing and live chatting with customer support and excuses were given, but he was not able to reach an account manager. After close to 5 months of poor communication, a new manager was assigned to the account and he was informed that the company had relocated to Bulgaria. The binary options scam knows no borders. This account manager asked for more money and rewarded the man with a bonus for turning the account around, but this was all for nothing as the trades on his account kept losing. The client had suffered greatly from eleven months of dealing with binary options, affecting his marriage and his family life. Finally, he decided appealing to the company was not working and sought legal help, turning to Veronica Birman Law Firm who helped him recover his $85,000 that he invested.
*This is a real story of a client of ours who was the victim of binary options fraud.
The client wanted to get his story out there in the hope that it will help others in similar positions.
The client requested that we respect his privacy throughout.