OptionSellers.com Investors File $7 Million Lawsuit Against FCStoneWednesday, December 5, 2018
On December 3rd, 2018, the investor rights attorneys of ChapmanAlbin LLC filed the first of a series of lawsuits on behalf of 85 investors who suffered catastrophic losses in the OptionSellers.com disaster. The first lawsuit, filed on behalf of 12 Michigan investors, totals $7 million in loss recovery claims against INTL FCStone, the New York-based financial services company that served as OptionSellers’ clearinghouse.
Not only did these investors lose the money they had invested, due to the huge naked options positions OptionSellers had taken and the subsequent spike in natural gas and crude oil prices, they were set to lose even more to FCStone’s resulting margin call. The statement of claim alleges that OptionSellers’ trading strategy typically included some forms of hedging and risk protection to guard against occurrences like this, but in the period of time leading up to November 14, these strategies were almost completely abandoned, leaving the investors totally vulnerable.
“It’s worse than betting the farm,” commented Jason Albin. “It’s like taking out a huge mortgage on the farm, then betting the farm and all the money you just borrowed against it, and losing it all, in one day of trading.”
If you lost money due to OptionSellers.com’s reckless options trading strategy, contact us today at 1-877-410-8172 or email attorney Jason Albin at firstname.lastname@example.org for a free consultation.