NEWS: "Chinoys scammed again"

**ghosthunter** · September 23rd, 2011 07:48 PM

Chinoys scammed again
Philippine Daily Inquirer
1:00 am | Wednesday, September 21st, 2011

It’s sounding almost like some kind of financial scam has to hit the affluent Binondo Chinese community every now and then.

The latest edition of this recurring story unraveled only last week, according to our sources, when a Filipino-Chinese “forex trader” absconded with the investments of several family members and friends.

“Forex trading?” Well, strictly speaking, the actual trading of dollars in Binondo has slowed down in recent years after the relative stability of the peso against the US dollar virtually eliminated the exchange rate differential between the formal market and the so-called “gray market.”

Apparently, what is called “forex trading” nowadays is somewhat of a misnomer as it involves trading of highly leveraged (and highly volatile) foreign exchange futures contracts.

These contracts—which are basically sophisticated derivatives contracts—can deliver large gains to the clients, but can also result in devastating losses once the markets move against the investor (something that can happen in seconds).

There is no formal futures exchange in the Philippines so investments of this nature are traded by locals online in virtual exchanges offshore.

It is this kind of activity that this Chinoy “trader”—whose initials are NT—was allegedly engaged in. After suffering massive losses, NT (who is said to be related to the owner of a popular Chinese restaurant in Greenhills) supposedly “disappeared” and is now in hiding.

The damage to his irate and despondent “investors” has been estimated to be close to P1 billion. Ouch.—Daxim L. Lucas

SOURCE: Biz Buzz: Chinoys scammed again | Inquirer Business

**shadow** · September 23rd, 2011 09:58 PM

Nelson Ty?

**ghosthunter** · September 23rd, 2011 10:08 PM

Originally Posted by shadow

Nelson Ty?

yup... you know him? hehehe

**tidus1203** · September 23rd, 2011 10:26 PM

Hahaha Forex nanaman!

When trading FOREX always and I have said this before and I will say it again ALWAYS TRADE WITH A FOREIGN BROKER!!!!

You can trade with Oanda (like me which is in New York), or FXCM, or FOREX.com or Deutsche FX (DBFX). BASTA FOREIGN!!! Remember locals could be fly by night since walang regulator yan and speculative FX trading is not available locally cause our financial system is so primitive...

**shadow** · September 23rd, 2011 11:56 PM

Double post

**shadow** · September 23rd, 2011 11:58 PM

Originally Posted by ghosthunter

yup... you know him? hehehe

Not really just heard my parents talking about it last week, birdy from bank told them...

**uls** · September 24th, 2011 12:47 AM

i don't think it's a broker issue

the guy didnt run a fly-by-night brokerage

he's very likely a trader with an account at a foreign broker

people gave him money to play the market then he disappeared with the money

the guy probably used past performance to convince family and friends that he can deliver high returns

nabilib sila so they handed him money

**tidus1203** · September 24th, 2011 07:11 AM

Pero teka trading an account is one thing withdrawing money from an account is totally another... I think in order to send a wire transfer, the OWNER of the account has to sign and then fax it to the foreign broker for processing. The trader might know the online password to TRADE but I don't think he can ask for a withdrawal cause he needs the signature of the OWNER! At least ganun sa Oanda in order to expedite a withdrawal kailangan fax an withdarwal slip to them and they will only send it to an account WITH THE SAME NAME (aka the name of the owner). Pag di tugma yung name sa Oanda at sa local bank, NO WIRE!

**shadow** · September 24th, 2011 10:33 AM

^that's the regular procedure, but we don't know what magic he did...diba? I don't think he follow proper procedures. parang yun nangyari lang dati sa Citibank. if one follow the proper bank procedure then walang mananakaw na pera and yet nakakuha yun anak ni councilor. same banana.

this guy was also indicted in the US for wire money fraud. they defrauded a bank, mga LC-LC commodity. pinepeke nila yun papers they just get the money and no products na binibili.

**uls** · September 24th, 2011 11:13 AM

Originally Posted by tidus1203

Pero teka trading an account is one thing withdrawing money from an account is totally another... I think in order to send a wire transfer, the OWNER of the account has to sign and then fax it to the foreign broker for processing. The trader might know the online password to TRADE but I don't think he can ask for a withdrawal cause he needs the signature of the OWNER! At least ganun sa Oanda in order to expedite a withdrawal kailangan fax an withdarwal slip to them and they will only send it to an account WITH THE SAME NAME (aka the name of the owner). Pag di tugma yung name sa Oanda at sa local bank, NO WIRE!

ganito --

think that guy isnt an employee

he's running a one-man hedge fund

the guy has a trading account in his name and a dollar account that he uses to transfer funds to the trading account

he asked clients to transfer funds to his dollar account

for transparency, he sent his clients monthly reports of his performance

ok performance niya so clients keep sending him money

and word of mouth dumami clients niya

then one day he disappears