New Zealand is a scam haven for FX - Avoid!

I would give the strongest warning possible to any FX trader considering a new broker.

Avoid like the plague any broker with registration in New Zealand.
Secondly, avoid Capital Trust Markets!

From both personal experience and the posted experience of scammed traders on Forex Peace Army site, it's clear that New Zealand authorities regularly turn a blind eye to criminal fraud by FX brokers. An Fx broker recently indited and closed down, ForexTrend, was based in New Zealand. Currently the broker Capital Trust Markets will soon be on the receiving end of a class action suit by clients who are unable to withdraw any funds from their accounts. The director { name deleted by staff due to legal threats } does not respond to any form of communication and on May 18 de-registered the CTM company from New Zealand business directory and disappeared.

Whats even more amazing is that the Capital Trust Markets website is still operating and appears to still accept new clients and their money!!!!!!
It has a new registration in the UK and with a new Pakistani director listed. In response to an inquiry sent to the New Zealand government agency responsible for financial oversight (FMA/FRPS), they said that CTM was no longer registered with them so there was no legal arbitrator!!! Outrageous and Amazing!! It appears that a life of crime does pay in New Zealand.

Many of the CTM clients have files complaints with their respective police agencies and anti-fraud units in Canada, UK and NZ. Hopefully the developing legal suit will track down and prosecute { name deleted by staff due to legal threats } as well as make public that New Zealand is the Pirate Bay of FX trading. Avoid CTM and avoid New Zealand !!

If any trader clients of Capital Trust Markets visit this thread, please post your comments and experiences. Also please visit the thread on Forex Peace Army that is organizing the class action suit against CTM and the criminal { name deleted by staff due to legal threats }.

Hmmmm New Zealand seems to be the new Cyprus! But why on heavens gate do traders open accounts with funny sounding and relatively unknown brokers like CTM?????

http://www.financemagnates.com/forex...esponsibility/

say it not so, makes you wonder if there brother / sister Australia will do the same

I think New Zealand is just inexperienced and inadequate in dealing with this new surge of scam brokers under the guise of forex trading. New Zealand is a relatively small resource economy country that specializes more in mineral resources and agricultural products. Financial is really not their forte. But with the influx of forex trading with new technology and many times complex capital structure now spanning across the globe and unconventional trading practices into the country taking advantage of New Zealand's favourable reputation as a country perhaps, I think New Zealand's overseeing regulatory body is just overwhelmed and ill-equipped to deal with all those scam brokers. They have no procedures, protocols, investigative processes and least of all, enforcement and disciplinary proceedings to investigate and prosecute these scammers even when they have been exposed.

And that is unfortunate and troubling for New Zealand as well as for us traders alike and many times unfair to New Zealand which is a country that is otherwise known to have sound judiciary system.

I wouldn't blame NZ, the whole globe is littered with current and past scams when it comes to investments. The regulators in NZ and OZ are going through all online brokers and kicking out ones that don't actually operate in NZ.

https://fma.govt.nz/news/warnings-an...ma-warnings/#A

https://www.fma.govt.nz/news/media-r...il-to-respond/


However, how anyone in their right mind could deem CTM a good counterparty in the first place is beyond me!
Still I guess there will always be a stream on punters who only look at price and not substance and that's what scammers count on whether they are from Canada (as in CTM's case) or anywhere else in the world.

Do your due diligence (how long have they been in business?), walk into their office, meet them, get a feel for whether your funds are safe there, all pretty obvious stuff which most scams will fail at the first hurdle.

I live in New Zealand and yes, to a certain degree, the FX brokers here generally unregulated. From what i hear though, NZ authorities are starting to clamp down on corrupt/ bucket shop fx brokers. There are quite a few of them in NZ, but i don't think for too long though.

The ones that i know that have a very good reputation are OMF.co.nz, but the minimum deposit is $10 000, PFD.co.nz seem ok, FXPIG, and Halifaxonline. These are the only ones that I am aware of where your money is safe in NZ!

Finally, the day has come when Reza F**ing Mokhtarian, thief CEO of NEW ZEALAND registered Capital Trust Markets (what a company name, Jeeez!) has stood in front of a judge in Toronto, Canada charged by the Ontario Securities Commission. (Not a civil trial case!). Apparently New Zealand could not care less about the victims, so Canada had to step in... Why Canada...? Because it was Canada who gave home to this Iranian refugee...

He was arrogantly and blatantly messaging in his YouTube video to his victims (watch from timestamp 15:00) that they were so stupid that they could not even steal from others... Adding (quoting): "Good for ME!" while driving to the bank with the stolen funds (as stated by this ba**rd).

Well, I hope that we - the SOCIETY - can show him that even though we might be "stupid" to steal from others, but we are powerful enough to give him some time to think about it in a prison cell for a couple of years.

Even if I don't see my stolen funds again, I hope the judge will be on the victims' side and give him the maximum sentence: 4 years and 364 days in a high security facility.

And yes, that will be REALLY-REALLY GOOD FOR HIM! (Especially when he will drop his soap in the shower...)