CFD1000 Scam. CFD1000 Withholding Withdrawal
I want to write this post to share my experience and to help anyone that is planning to open an account with CFD1000 or is already trading with them (If you are, you may want to try to withdraw your funds to see what happens. Please share your experience).
I will try to make this as short and informative as possible:
ISSUE
I requested a withdrawal of €6,000 on May 25, 2015 (nearly 3 months ago). On the 25 June 2015 I only received €1,000 out of the requested €6,000 withdrawal. I am still waiting for the remaining €5.000 withdrawal and do not know why they only processed €1,000. I placed two EUR/TRY trades since I opened my CFD1000 account.
For the last 3 months I have been trying to contact CFD1000 and it has been near to impossible to contact anyone. They do not contact me back (I have tried via email, live chat, phone, skype). When I have managed to reach someone they never give me a solution or an explanation.
The last person I contacted with the names, Paul Miller and Charles Perkins advised that they would proceed with my withdrawal and they would contact me. That same afternoon someone called John Sosa called me from CFD1000 and started offering me other financial products, asked for my MT4 login details passwords and personal data. I then found out that this person does not work in CFD1000 (this is probably part of the scam).
SEGRAGATED ACCOUNTS
Mr Franklin Martinez and Mr. Paul Miller promised that my funds would always be segregated through an external company called Lamda (https://www.lamdacs.com/). This was a lie, as when I trade with CFD1000, my funds are in CFD1000´s account and not in my Lamda account.
I have contacted Lamda Group (Mrs. Katerina Chrisou) as I have again requested the remaining €5,000 back to my lamda card. Lamda seem to want to help but are not responding anymore and have not come back to me with an answer as to why my withdrawal is not being processed.
More information on the lamda card that CFD1000 offers: http://cfd1000.qa.usoft-group.com/cfd1000-Debit-card
REGULATION
Mr Franklin Martinez advised that CFD1000 was regulated in New Zealand. When we checked, this was not true. They are not regulated anywhere. They state on their terms and conditions “The company was incorporated in the New Zealand under the International Business Companies”, however we cannot find any company registered as CFD1000 Limited.
CFD1000 OFFICES
CFD1000 state on their website that they are located in 88 wood street, London EC2V7AJ, United Kingdom (http://cfd1000.com/contact-us). The strange thing about this is that they are not regulated by the FCA and are doing business from London (this is illegal). Also, when searching this address via google we found 227 companies registered to this address. Many of them dissolved and none of them CFD1000 Limited (http://www.endole.co.uk/explorer/postcode/ec2v-7qf).
I will be visiting the offices in the next few weeks and will keep you guys informed.
BUSINESS MODEL
CFD1000 is a pure market maker. This means that they create their own market prices (do not have to be the same as official market prices) and they take the other side of your position. When you win they lose and vice-versa. As you can imagine, no one but the broker can win with this type of business model.
SOME OF THEIR OTHER WEBSITES
They have various other trading companies and websites such as:
http://binary1000pro.com/
http://1000tradinggroup.com
http://1000tradingpartnerslp.com/
http://grizzly-ltd.com/ (I received a withdrawal from this company on-behalf of CFD1000)
http://binary1000.trade (Closed)
http://cfd1000.com/es/
https://mobile-cfd1000.sirixtrader.com/#home
CONCLUSION
I hope this review has helped. These type of companies need to be stopped and I find it incredible how easily they can get away with it!
It may be a good idea that anyone having problems with CFD1000, do as below:
• Post your reviews on other forums and websites (just search CFD1000 on google and write reviews on first ten pages).
• Post your experience in Social Media (Twitter, Facebook, Youtube, Pinterest, Google+).
• Go to regulators such as FSA and Ombudsman, FSP in New Zealand, SEC, ESMA and OLAF and make them aware of what is going on.
• Go to your local police office.
• Keep an eye out for other websites they open, such as anything with “1000” in the url and are related to trading.
• If you have a strong case you may want to get legal advice.
Thank you.