I think that RefcoFX is part of Refco Capital Markets. RCM held RefcoFX customer funds in a myterious RFA #4761 account.
I'm still amazed that people send money to these firms without reading the terms & conditions the firms have.
Directly from refcofx website: "We wanted you to know about an important step in Refco's Chapter 11 filing. Refco F/X Associates LLC (RefcoFX) has signed a Memorandum of Understanding (MOU)" RefcoFX...not Refco Capital Markets
Let me try to summarize it. Refcofx IS a part of Refco Capital. The original deal with FXCM would have transfered all of the accounts over to fxcm and made the customers whole. However, several creditors are complaining because they want the money in the refcofx accounts to be part of the general fund from which Refco Capital will repay all of its debtors. If this happens, then refcofx account holders will only get a fraction of their investment back.
About ten years ago, I was part of an organization called the White House Communications Agency (WHCA). While I was there, there was great confusion weather or not WHCA was a Joint Command or a Army Command. No at the time knew for sure, even though Army personnel where the only onces assigned to WHCA, and all other services where attached. Then, I found in a file in my office the organizational orders that formed WHCA. Guess what, it's an Army Command, that falls right under the White House. But, to this date, people swear it is a Joint Command, and DISA believes it is in charge of it. Even though, it's the President that signs off on the WHCA Commanders annual evaluation. I think we have the same thing going on with REFCO FX. Technically, an LLC or a Corporation is an entity to itself, and stands separate from it's owners. But, if they don't keep their funds separate, then the courts usually rule the LLC is not separate, and the LLC is a sham. This is done usually to benefit the government and or those people who want to go after the owners. The question here is, is Refco FX a separate enity. Or is it a sham... One ruling will benefit those who want to go after the parent company. Another ruling would benefit REFCO FX customers. Either way, somebody is going to loose money, and I bet you it will probably be me.
Cute story, but you need a lawyer. Because those who do have lawyers will take money from those who sit around wondering who owns what.
As Iâve already explained in this thread http://elitetrader.com/vb/showthread.php?s=&threadid=58659 currently the RefcoFX funds are still safe and sounds at RefcoFX. FXCM has made an offer to buy out RefcoFX, if the transaction goes through the proceeds will be used to make RefcoFX customers whole. RefcoFX clients will be rescued by FXCM if the transaction goes through. Zonetrooper does not have the slightest idea about what is happening and her hysterical ranting should be ignored. RCM is a separate firm. This article does not affect RefcoFX. FXCMâs acquisition of the firm will make the customer whole. That has not changed in the slightest. The next step is an auction of the firm and that date will be decided on the 15th. Trader/God
Yes, I have used lawyers before. Unfortunately, unless you have a rather large wad of cache to through away, I've found that doing my own research is 10 times better that getting a lawyer that I can afford. The last two times that I was in court, I represented myself, and I faired much better financially, and gained a much better result, and leaned a lot on the way. Besides that, the few times I went to court, the cards were already stacked against me. Since then, I've learned it is better to settle out of court just as the bible says... The judgements in U.S. Courts are usually not to equitable. Especially when you don't have a jury trial. And even then, the Judge usually keeps your from showing the jury all the facts, thus fixing the out come one way or the other.