One of the most prominent binary options scams ever committed in the United Kingdom, Magnum Options posed as a top legitimate broker only to be uncovered as a fake binary options broker at a later stage of an investigation. The investigation was successful, owing to the top-class team of private investigators and attorneys, here at First Option Recovery who worked with due diligence and professionalism to discover the scam that has been present for quite some time and ripped off a lot of innocent customers one by one.
We, at First Option Recovery believe that no customer should be left behind when it comes to quality service. Our team is dedicated to provide you the best-in-class service at the best rates possible. We have a team of 128+ attorneys and legal advisors who are always there to guide you, no matter how small or big the fraud is. With over a decade of experience in this field and over $19 million recovered so far, we have a success rate of over 90% which makes us the best in the business all over the world.
The company tried its level best to promote itself as a top broker among the masses by hiring fake PR agencies who would write top class fake reviews and promote their product. They hired fake advertising personnel who would come up in front of the camera and say that they were quite poor and all of a sudden, they found out about Magnum Options who changed their destiny forever. A lot of young innocent investors were thus framed like that and lost their money.
Magnum Options made their profits by asking their customers to invest in fixed-odds betting investments which took their total tally to over £750,000 and even more. The company registered under them, Hampshire Capital Ventures Limited was placed under provisional liquidation subjecting them to an investigation as they were providing investment advice without a proper license.
Our firm First Option Recovery, is a firm believer of the UK Insolvency Service and when the authority decided to investigate the case, we also decided to work on the case along with them to bring out the fraudulent nature of such crimes.
The UK Insolvency Service, who worked on these fraud cases, investigated the complaints that they received between February 2016 and March 2017 and found out that the scheme that Magnum Options provided was a fake one and many investors have lost their money owing to this.
Promises Made vs Returns Delivered
Magnum Options was quite successful owing to the smart sales team that they hired. A member of the team used their aggressive sales approach to call a person who can be lured into a potential investor to invest in the scheme that would promise them with over 80% returns within a brief period of time. Unsolicited calls to the victims were common until and unless those salespersons got hold of a naive investor, they kept on pitching them with an offer that they couldn’t refuse.
Unfortunately, every company, unlike First Option Recovery doesn’t hold onto their promises and such was the case with Magnum Options as well. Guaranteed returns were promised but one catch made all the difference. According to the terms and conditions page of Magnum Options, the investors were told that they needed to trade 40 times the amount that is present in their account balance in order to make withdrawals. This is because the firm doesn’t entertain small withdrawals at all. Some of the investors, paying no heed to the warnings, ended up doing so, but unfortunately, they lost their money as no payouts were made even after repeated attempts. The firm was eventually closed after an investigation. It was found out that the firm has duped people with over £750,000 till then.
What do you need to do in order to save yourself from such scams?
We at First Option Recovery, are working extremely hard to bring out the best and verified information to you and your peers. As a result of our efforts, our team has worked diligently to bring you about the red flags of how one can find out whether a binary options broker is a scammer or not.
Don’t believe in high returns
As of 2020, no one has devised a trading method so far that can provide a guaranteed return of over 80%. Binary options is a very lucrative field in the investment world, but it also requires patience, dedication and perseverance. It is an expensive trading option owing to commissions that you need to pay to your broker. In such a case if any broker is promising you insane returns it is indeed a fake one.
Extra deposits for fund withdrawals
These binary exchanges work on an algorithm formulated by these scammers where there is absolutely zero percent chance of a loss in a trade. You always end up making profits which makes you happy, however, in order to withdraw your funds, you need to invest a lot more money because the firm is going to tell you that they don’t entertain small deposits. You, owing to the fact that you are constantly making profits believe in such a nuisance and as a result, often end up depositing the amount only to realize that the payments are never made at all. Many customers have lost their life savings by investing in fraudulent schemes like this. Some, who decided to contact us at First Option Recovery got their funds back within a time period of 3 months.
Verification of license number is a must
A binary exchange firm cannot operate without a valid license number and hence, one should always check for the valid license number of a binary firm. Many firms issue a fake license number and post it on their website. This can be easily confirmed as all valid license numbers can be verified as they are publicly available.
What to do if you lose your money?
Firstly, you need to relax and know that your money is not lost. You need to realize that there are a lot of fund recovery experts who can do the job for you. They have a trained group of attorneys who can help you get your money back in no time. One such fund recovery group that you can rely upon is First Option Recovery. We pledge ourselves into being the best in the business for over 10 years now and with over $19 million recovered so far, we believe in eradicating financial crimes across the world as soon as possible. We have our own database of fraud companies that helps us recover your funds faster than any other recovery group can do. Do get in touch with us if you have been a victim of any kind of financial fraud.