Jump to content

Welcome to the new Traders Laboratory! Please bear with us as we finish the migration over the next few days. If you find any issues, want to leave feedback, get in touch with us, or offer suggestions please post to the Support forum here.

  • Welcome Guests

    Welcome. You are currently viewing the forum as a guest which does not give you access to all the great features at Traders Laboratory such as interacting with members, access to all forums, downloading attachments, and eligibility to win free giveaways. Registration is fast, simple and absolutely free. Create a FREE Traders Laboratory account here.

Ahmed Mahmoud

Serious Allegation to IronFX !!

Recommended Posts

Many times we see different articles and allegation against brokers but we rarely see as much details and as much investigation by a journalist or a TV channel, which not just opened the case but made the company go and do comments about the case and encourage an ex employee ( as he describes himself to be) to go and talk about how did the company start and what are the practices followed to bring in new clients , new funds and how employees and clients are treated.



To brief you about this issue the article is published by Forex Magnate (http://forexmagnates.com/ironfx-grilled-on-chinese-tv-by-affiliates-criminal-fraud-investigation-filed-on-air/)

and is about a series of TV shows in where a Chinese journalist is trying to investigate serious allegation against IronFX specifically from IB’s or as they are described Affiliates. Allegation was related to the following Points:


1- IronFX’s MT4 trading platform had suddenly stopped working, causing major losses for investors.


2- Not paying Commissions to Affiliates as agreed due to policy change “In the first two months, IronFX paid the promised amount of commission to the affiliate. But starting from the third month, IronFX claimed that the commission policy had changed and according to the new policy, they were not qualified for commissions.


3- Clients deposit hitting clients accounts while actual fund cannot be traced to be leaving China.(what happens to the money??)


4- Having operations in china without obtaining a license while having some representatives of the company claiming to have reserved foreign currency with the Foreign Currency Regulation Bureau which it was confirmed that did not happen.



The company under pressure answered to the Forex Magnates with an announcement from the IronFX General Manager and Chief Compliance Officer about these allegation and accusations, remarking 3 main points:


1- “We do have legal opinions that our operations in China are legal and legitimate”. Does this allow you to have offices and employees in china?


2- With regard to the funding IronFX does not do anything different from what the whole industry does. ….If you do what others do does this make it right? And what do others do? Is it all others or some of the others? It is really a choking statement from a GM & Chief Compliance Officer in my own opinion!!!!!!!!!


3- They are very surprised by the false allegations and our lawyers are taking the necessary steps against the TV station. … Which part of allegations is false, all of it? Part of it? – The statement regarding funding is a kind of confirmation to what came in the investigation so is this the only thing that is correct? Or some other allegations are also correct?


Last please note an interesting comment mention from an ex employee(as he calls himself) who wanted to share whatever he/she knows around this company, Basically let me share with you some of the main points he mentions;


1- The company is run by one person who is the CEO who has assistance from his brother.


2- The company started with stolen client database of clients and IB’s and technology information from another FX broker who the brother used to work for before Iron, the brother that is now a share holder.


3- The current china CEO is also an ex employee of the mentioned FXbroker.


4- The company started in china by bribing the local police to close the offices of the ex FXbroker we talked about and started by taking their place by copying every aspect of what they were doing even the image of the company.


5- The company continued to head hunt employees who have access to large clients date bases.


6- The sales process is the most aggressive process that it can happen with high targets for sales people and very long working hours, he describes the office like a military camp run by the CEO with commissions on deposit and deductions in case of withdrawals. Some of the sales tektites used are described by this example include:

a. The power hour (People are forced to work standing and are not allowed to close the phone for 1 hour

b. The Wednesday pizza marathon were everybody works until midnight to eat free pizza.

c. The Monday morning email from the head of sales which is got letters with font size 25 telling sales people that if they don’t meet their targets he going to make sure to send them back to China on the next flight.

d. The shame list which is in public view inside the office which lists employees which are underperforming according to Ironfx Concentration camp rules.


7- Once marketing expanse went very high , new deposits could not cover so they had to go to cost cuts which included:

a. Open offices in Latin America with very cheap labor.

b. Reduce client acquisition cost, so no more commotions on volume and move to one off payment (CPA or cost per accusation) a model used by another big broker so copy this.

c. Do not pay for BI’s the CPA if clients are making money and this is what made the big story on china TV.

Share this post

Link to post
Share on other sites

If this is all true then thats some serious stuff regarding the security of client's funds at this broker. I have heard many good things abt Ironfx too and that they have very good marketing campaigns. I think its for the traders to decide what they believe in.

Share this post

Link to post
Share on other sites

Join the conversation

You can post now and register later. If you have an account, sign in now to post with your account.
Note: Your post will require moderator approval before it will be visible.

Reply to this topic...

×   Pasted as rich text.   Paste as plain text instead

  Only 75 emoji are allowed.

×   Your link has been automatically embedded.   Display as a link instead

×   Your previous content has been restored.   Clear editor

×   You cannot paste images directly. Upload or insert images from URL.

  • Topics

  • Posts

    • #forex #forexnews #Brexit #GBPUSD is trading at 1.2867, having breached key support on Tuesday, courtesy of Brexit delay. The pound fell below the 50-hour moving average, confirming a bearish reversal on short duration charts. The key MA had consistently reversed pullbacks throughout the rally from 1.22 to 1.30 and may work as stiff resistance henceforth.  The GBP was offered as #PrimeMinister #Johnson's #BrexitBill won parliamentary support, but the government’s timetable of just 3 days debate on the bill was rejected.  With the parliamentary defeat, the probability of Britain leaving the European Union (#EU) before the Oct. 31 deadline has dropped sharply.  Further, a source in Prime Minister Boris Johnson’s office said on Tuesday that a new election would be the only way to move on from Britain’s Brexit crisis if the European Union agrees to a delay until January.  On a daily chart, the uptrend in GBP/USD appears to have stalled. Signs of indecision loom as a #Bearish Harami candlestick pattern risks paving the way for a reversal. Prices are eyeing near-term support which is a range between 1.2773 and 1.2798. A close under this barrier could open the door to testing former highs from September. Otherwise, clearing resistance at 1.3001 prolongs the uptrend. Expectation for GBP to “retest the 1.3010/15 level” was incorrect as GBP rose briefly to 1.3000 before plummeting to 1.2862 during NY hours. Upward pressure has dissipated and the short-term risk is for a deeper pullback. That said, any weakness is viewed as a lower trading range of 1.2810/1.2920 and a sustained decline below 1.2810 appears unlikely for now. Next 1-3 weeks:  #GBP tried to break clearly above 1.3000 for the second straight day yesterday (22 Oct) but slumped after touching 1.3000. For now, there is no change to our view from Monday (21 Oct, spot at 1.2880) wherein “GBP has to ‘punch’ above 1.3000 and register a NY closing above this level in order to indicate that the current rally has enough ‘ammunitions’ to extend to 1.3050, possibly as high as 1.3150”. While there is no change to our view, severely overbought conditions suggest GBP could ill afford to dither below 1.3000 or the risk of a short-term top would increase rapidly. From here, unless GBP cracks and stays above 1.3000 within these 1 to 2 days, a break of 1.2770 (no change in ‘strong support’ level) would indicate that the positive phase that started more than a week ago (see annotations in the chart below) has run its course. Looking ahead, a breach of 1.2770 would suggest that GBP is ready to ‘take a breather’ after the steep rally over the past couple of weeks.  
    • good news indeed, recognized in latin america as well. good job
    • CWM FX was a foreign exchange trading firm located at the Heron Tower at 110 Bishopsgate, otherwise known as Salesforce Tower. Dealing at the firm was suspended in March 2015 following a police raid on the firm and 13 arrests. There have been no convictions relating to these arrests as of 15 June 2015. CEO Anthony Constantinou was convicted in 2016 of sexual assault and sentenced to serve 12 months in jail.[1] London Police later revealed that most of the company's revenue came from a £50m alleged Ponzi scheme which promised returns of 5% per month Real charmer this conman..no? Now sit back and watch how he either fx off or trys to play the victim. Adults don't need moderators.
    • I know a parrott that has a higher IQ than you.
    • Feel free to copy and paste every time mr constipation posts. Do not be deterred by anything he says because he's a lying conning crook who can sue me for slander anytime
  • Create New...

Important Information

By using this site, you agree to our Terms of Use.