ELEMENT to resume live trading....NOT

Discussion in 'Prop Firms' started by Jerry B, Mar 5, 2012.

  1. Jerry B

    Jerry B

    I was able to get a hold of this email from one of the many victims (I hear at least 50) of Charlie Vaccaro's most recent scheme....Element Trading. Element shut its doors around mid-December of '11. Phones were not answered, traders could not log onto their platform Sterling Trader Pro, payouts that were promised right before Christmas never were sent, etc.....just horrible!
    Calls were made in a vain attempt to reclaim their money. Element's broker dealer was contacted, AOS ( now known as "Trading Block") only to be told that Vaccaro had just days earlier wired all the money out.
    More then 40 traders are still out their money & waiting to hear any kind of word from Vaccaro. As if to tease & torment his victims just a little more, Vaccaro did resurface on 1/9/12 with this email, promising to reopen for business on Jan. 16th. I guess no one bothered to tell Charlie Vaccaro that that was a Holiday (MLK) and the markets were closed! IN any event, the email was another broken promise from Vaccaro. Element never did reopen, and no one has had a dime returned. All the while the SEC & FINRA sit idly by and do nothing. However the NY District Attorney's office, as well as the FBI have been notified. Still, it is NO wonder how a guy like Vaccaro lasts so long. Here is the email:

    Dear Element Traders,

    We have been off line since before the holidays and have been busy securing the necessary capital to re-capitalize Element so that we can ensure a more financially stable company. At the same time we have been implementing our proprietary risk management software "FIDO" that will be rolled out when we resume live trading. We are pleased to report that we anticipate closing on the first phase of our injection of capital this week and anticipate resuming live trading as soon as Monday January 16th. We apologize for the inconvenience and will be making every effort to expedite the process. Once this funding is in place we will be making distributions to all traders throughout the next 45 days. This is only phase one of the capital expansion. Element has completed its private placement memorandum and will be filing it this week. Once filed Element will be able to proceed with its private placement offering further enhancing our capital strength and giving Element the necessary funding to expand its offerings and global reach. Thank you for your patience and please look for the anticipated announcement this week for your clearance to resume live trading.

    Finance Dept.
    Element Trading Corp.
  2. rmorse

    rmorse ET Sponsor

    I don't know anything about this firm or this situation. But, this is why I say over and over in this forum, how it is more important to deal with a firm you trust, rather than just look for the best rates and payouts. Prop firms become your partner, even if it feels like you're their customer.

    I hate stories like this.
  3. Jerry B

    Jerry B

    Thanks for your post......yes it is a horrible story, for myself and numerous other traders. I think we've all learned a lesson the hard way. Simply Google Charlie Vaccaro and you'll be brought up to speed quickly. Hopefully justice will be served soon.
  4. lol @ the title. why would someone element while vacarro had the record he had? It takes so little time to do basic search on google to see who the good firms and who the bad firms are.
  5. Yes, that's obvious. However not everyone conducts proper due diligence. People become aware when traders come forward to share their information, which then allows for the collaboration with others who also fell prey to the scam.
  6. whos fault is that is that? All it takes is 10 seconds to google Element Trading and you'll find Charles' history on the first page.

    A big part of the problem is that there is a lot of BS "scam" pages about good honest prop firms because of the media's spin on "proprietary trading". It's hurting the business but that's big media for you.

    Read the reviews, if you have 80-90% good reviews on good sites, you know the firm is a good place to deal with. When you see element's reviews it's all old disgruntled traders who never got their money.

    Why is it not 1 person even loses their deposit with firms that have good reviews (Bright, JC Trading, Capital Traders Group) but everyone does with Vacarro & Velez's scams.

    Traders need to stop believing the lies that they will make all this money if they signup for these people's programs. They are professional scam artists and have been unable to hold on to anyone's deposits.

    Anytime somebody tells you they're going to take the risk and let you trade without a deposit, how can you in your right mind believe you'll ever get paid out? With his history, there was no way anyone in their right mind would send him $10,000 or even $5,000. I wouldn't even send him $5. He knew this so he let people trade without deposits.

    Lesson of the day: If it sounds too good to be true, it probably is. Stop looking for the easy way out with no risk on yourself. It will never end well.
  7. This happens because people don't want to put any effort into trading. They want to make easy effortless profits with no work. They don't want to do the Series 7 and join a real firm.

    And they don't have enough money to trade

    so they think they can cheat PDT with minimum of effort by joining a shady firm offering a free lunch.

    They all deserve to lose money for trying to be shady themselves and joining a shady firm.
  8. Quarry


    Look, I don't like to bash anyone but evotrader has a point. With the information that is available now, you should be able to do enough research to find a reputable firm. Don't get involved with anyone who hasn't returned trader funds before in the past. Go with firms like bright, echo, T3, vtrader, maverick, smb, cy group, or dimension where I have never heard anyone complain about payouts or getting money out. There may be other complaints out there about software, costs, etc. but these firms are honest and never mess around with your capital.
  9. Except for the deserve to lose money part, I have to agree. I see and hear from so many new people who simply get sucked into a business they shouldn't be in, because they think they can do it on the cheap.

    A bad way to explain, but I'll try. If you need to drive 40 miles to work and need a car. You can't afford a car that runs, so you buy one that is about dead, just hoping it will last long enough to get to work so you can make some money. Well, not too big a chance of that. Save some extra money, give yourself a fighting chance... this is not just about your money, but how many months, years of your life wasted on "questionable" firms.

    All the best,

  10. I am still owed money from HLV Capital 6 years and counting. How Vaccaro got anyone to give him 5 bucks after that fraud I do not know. Nobody did a google search on this guy? If you lost money with him in the last 5 years I have no sympathy for you. HLV was at least 5 years ago, a fraud. He is a criminal you were too stupid to actually do any research and you gave him your money. Next.
    #10     Mar 11, 2012