Orion Broking Services Runaway with clients Money !!!

TraderRavi

low risk profile
#1
Cops Seek CB-CID Probe on Firm

COIMBATORE: The Cyber Crime Cell of the city police registered a case on Saturday against three persons, including the proprietor of an online stock brokerage firm, who is believed to have embezzled hundreds of crores of rupees from investors and speculators.

The complainant, G Mohan (45) from Ramanathapuram, in his complaint lodged on Thursday, alleged that the proprietor of Orion Broking Services, whose office is located at RS Puram, East Periyasamy Road, was untraceable and the office was also closed.

Police have booked the proprietor of the company, Johnson P Jose, his wife Sinsy Jose, and the assistant chairman, along with other company employees under sections 120B (criminal conspiracy), 420 (cheating and dishonestly inducing delivery of property) and 409 (criminal breach of trust by public servant, or by banker, merchant or agent) of the Indian Penal Code.

Police sources said that the company had 11 offices across Tamil Nadu and Kerala. All offices reportedly closed down a few days ago.

Cyber Crime Cell Inspector S Muthumalai said that the company was a member of the National Stock Exchange.

On its website, the brokerage firm claims that it is also a member of the “Bombay Stock Exchange (BSE), the MCX-SX, the Multi Commodity Exchange of India Ltd (MCX), the National Commodities Derivatives Exchange Ltd (NCDEX), the National Multi Commodity Exchange of India Ltd (NMCEIL), and the Ace Derivatives and Commodity Exchange Limited (ACE).”

Police said that the company invests on behalf of its investors in a wide array of commodities, derivatives, IPOs, mutual funds and equities. It has been functioning for the last eight years.

The complainant Mohan said that the company would pay out returns on investments, on a pay-by-demand basis to its clients. Clients can check on their funds through an online account, for which each investor is given unique login credentials.

Police said that there were thousands of investors who had enrolled with the firm, and estimate that the suspects could have made off with hundreds of crores of rupees. The proprietor is also believed to have offloaded the stock-holdings of all his clients just before closing down the offices.

City Commissioner of Police A K Viswanathan, said that he is going to write to the Director General of Police, requesting a CB-CID probe into the case.

http://www.newindianexpress.com/sta...D-Probe-on-Firm/2015/08/23/article2988383.ece
 

TraderRavi

low risk profile
#2
even clients stock holdings also liquidated.

The proprietor is also believed to have offloaded the stock-holdings of all his clients just before closing down the offices.
 
#7
Well, about such happenings a warning was given in the following old thread of mine, which was about the situation faced at that moment in the US. Now it also starts to happen in India.

Never ever put all your eggs to one broker
 

ganeshams

Well-Known Member
#8
Lets hope ...there will be more organised firms started providing more funded accounts or plenty of prop firms to trade with better profit split...
And traders will have more options and can maintain multiple broker accounts with out relying on small brokers much. so all the big players will reduce their charges with more transparency which in turn affordable by small retail players with better safety.....
no surprise such days are not far.....
 
#9
Well, about such happenings a warning was given in the following old thread of mine, which was about the situation faced at that moment in the US. Now it also starts to happen in India.

Never ever put all your eggs to one broker
Nice thread by Dan..............we were shouting but still people fall in trap.......

If you are an Investor,you always track fundamental of the stock.....then why not broking firm ??????.....it's like you Invest blindly in Chit(Cheat) Fund.......:lol::D
 

Rish

Well-Known Member
#10
This issue is old and settlement process is on. One of my circle person also get affected. Almost 80K, claim process is going on. It take time, entire amount not guaranteed.

Moreover, This broking company, Promoter doesn't have any ethics...I know his full story...where he started his carrier and how bad character he is. Intentionally, he tried something and landed into soup....Which he use to do in earlier part of his life...escaped...now he caught.

You can't escape always...

Lesson :

Broker allowing single margin for Both Commodity and NSE.....ultimate crime....we should avoid such brokers....basic statutory norms itself, violated. BMA is one among them.

More exposure offering....Broking companies....we will suffer....

Looking for Less brokerage firms, not evaluating our Capital Risk..

90% fault is with our decision.

Capital Safety first - Exposure and Less Brokerage is peanuts.
 

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