[Ed. Note: This post is from our friends at Chapman Albin in Cleveland. We have worked for many years with both John Chapman and Jason Albin. At their request, we are posting an urgent request for victims of the OptionsSellers.com scam. We have previously teamed up with John and Jason to help collect millions of dollars from unscrupulous stockbrokers, investment advisers and others in the financial services industry. They take cases anywhere in the United States.]
OptionSellers.com Fraud Alert!
The investor recovery lawyers at ChapmanAlbin are investigating and preparing to file claims against OptionSellers.com and the company’s clearing broker INTL FCStone. If you lost money due to OptionSellers.com’s reckless options trading strategy, contact us today at 1-877-410-8172. You can also email attorney Jason Albin at *protected email* Consultations are confidential, without obligation and free.
OptionsSellers Loses Millions of Investor Monies
This week, OptionSellers.com notified its clients by email of an event they call a “Catastrophic Loss Event.” In the email, OptionSellers say that not only did they lose all of their customers’ money, they also say those customers now owe money to Intl FC Stone for margin calls. INTL FCStone is a multi-billion financial services company that acted as the clearing house for OptionSellers.
According to the email, OptionSellers lost a substantial portion of their customers’ money due to a short call position in crude oil that, according to them “was so fast and intense that it overwhelmed all risk measures in place.”
Not only did investors lose all their money, the company says customers now have a debit balance in their accounts meaning they must write checks to INTL FC Stone to bring their accounts current. the difference.
Cases where a broker loses all of a customer’s money are thankfully rare. This case is truly unique, however. Investors have not only lost their entire investment, they now find themselves facing possible collection action for the money they owe for margin calls.
Claims against OptionSellers.com and Its Principals
Tampa-based OptionsSellers.com touts itself as premier and highly experienced commodities options trading firm. The firm’s president and head trader, James Cordier, explained in a recent interview: “Our goal is to take an aggressive vehicle and manage it conservatively.”
Conservatively? How can a firm trade “naked” options instead of covered options and claim they are acting conservatively? They can’t.
Since the email was sent on November 15th, OptionSellers.com website has gone mostly dark. Except for the home page, information about their trading strategy, blog posts and guide as to how to trade options have been removed. Even the link to founder James Cordier’s book, the Complete Guide to Option Selling has been deactivated.
None of this is a good sign for investors. We worry about their ability to pay the millions of dollars of customers claims.
Because the company traded naked options, it apparently managed to quickly lose everyone’s money. In our opinion, OptionSellers.com’s trading strategy was extremely risky and unsuitable for its clients and breached its fiduciary duties to them. The company put its interests ahead of those of their clients.
The Optionsellers.com team includes Rosemary Veasey, Matthew Donovan, James Cordier, Michael Gross, and Alicia Zedella.
If OptionSellers.com Is Out of Business, How Can I Get Back My Money?
Claims against Intl FCStone
We believe that INTL FC Stone, the firm that executed the trades for OptionSellers.com, may be liable for investor losses. INTL FCStone is a large publicly-traded company that has billions of dollars of annual revenue. It may not be a household name but it certainly has deep pockets and we believe it is also at fault.
We believe INTL FC Stone failed to conduct proper due diligence of OptionSellers.com’s traders. Principals James Cordier and Michael Gross had multiple complaints filed against them in the past, certainly something that should have raised a red flag.
We also believe FCStone failed to know its customers, and thus allowed Optionsellers.com to trade options in IRA accounts on margin, something that is normally forbidden.
Call Today for a Free Consultation to Explain Your Rights against INTL FC Stone and OptionSellers.com
Since 1998, the attorneys at ChapmanAlbin have helped hundreds of investors recover millions of dollars lost due to investment fraud and negligence. Call us today at 1-877-410-8172 or email attorney Jason Albin at *protected email* to discuss your options against OptionSellers.com and INTL FC Stone. Cases handled throughout the United States.
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