Unauthorised trading in commodity by broker firm
Querist :
Anonymous
(Querist) 12 November 2011
This query is : Resolved
I have opened an commodity a/c with SMC to purchase e-silver for investment.They have installed a s/w which was not working.So they asked me to transfer the money into their account,which I did.Instead of buying e-silver the person traded with all commodities.when I came to know about this I sent emails and also informed him by mobile and also SMC to desist from trading.But in spite of this he went on trading when the total money became to nil.In between I have sent several emails and also complained to the back ofice with the client greavience form duly filled.But they went on dilly dallying for over more than two months,without answering my emails in detail.Finally they said that as per the recordings I had placed orders.So I went to their office and listened to the recordings along with the Branch Manager and found that non of the recordings I have placed orders for commodities.The Branch manager also confirmed this.I had asked them to give me a copy of the recordings so that I can take it up with MCX exchange or any other so that I can recover the money.Please inform what are the options available to recover the money.Can this be referred to the consumer court.Whether a criminal complaint with the police is advisable?The amont in question is 55000=00.Kindly reply as soon as possible.Thanks.Ashok kumar
Sankaranarayanan
(Expert) 12 November 2011
you file a application by way of RTI regarding the voice conversation for order.
More over find a local lawyer and write a legal notice regarding the same to concern broker.
prabhakar singh
(Expert) 12 November 2011
To me all options are open.
When they were not listening you,you must have complained to SEBI as well as MCX which you can still do and can file a complaint in FORUM for it is a defective service case in my opinion,though many do not agree me.A civil suit is also well with in your right.
BUT all above there might be agreement you would have signed with the broker of which copy you have or not is unknown to me,its term might be providing some arbitration clause for dispute resolution,which you are advised to check before you proceed.
Take some legal service.
ajay sethi
(Expert) 12 November 2011
what are the documents signed by you when you opened an account with broker firm ?
have you retained a copy of the said documents?
generally the broker firms obtain authroisation from you in writing wherein theya re authorised to do trading on your behalf .
if you have not authroised any trading complain to SEBI . it will take action against firm after enquires .
lodge complaint with MCX also .
you cna lodge police complaint of cheating criminal breach of trust but then you will have to spend on lawyer fees, out of pocket expenses etc and amount involved is only rs 55,000/ .
.
Shonee Kapoor
(Expert) 12 November 2011
:-)
Anyhows, its worthwhile to lodge complaints.
Regards,
Shonee Kapoor
harassed.by.498a@gmail.com
Querist :
Anonymous
(Querist) 13 November 2011
Thanks to all for replying my post.I have signed some documents but I do not have a copy.Can I request for a copy?I have contacted SEBI who informs they are taking complaints for stocks and not for Commodities.They have asked me to take up the matter with MCX,which I am now doing.I am supposed to have an online account but since the s/w was not working it was perhaps converted on off line since they asked me to transfer the money to SMC comdex a/c.Hoping for the best.
Sailesh Kumar Shah
(Expert) 13 November 2011
1) you can go consumer forum
2) Generally, in agreement contained arbitration clause, so you have to ask for arbitration proceedings.
Sailesh Kumar Shah
(Expert) 13 November 2011
one more point that you can complain at forward market commission, it is regulator of commodity market like as sebi in stock market.
http://www.fmc.gov.in/
