This right here is a big no no. GLB never should have allowed this. The Receiver understands that Tuco had a unique relationship with one of its Members named T3. Although T3 was treated as one Member for Tuco's purposes, it consists of numerous individual traders or trader groups ("Sub-Members"). T3 charged the Sub-Members commissions which would get processed the same way as commissions earned by Tuco and would be paid directly to Frederick. T3 did a high volume of trading through Tuco's accounts
This right here is a big no no. GLB never should have allowed this. The Receiver understands that Tuco had a unique relationship with one of its Members named T3. Although T3 was treated as one Member for Tuco's purposes, it consists of numerous individual traders or trader groups ("Sub-Members"). T3 charged the Sub-Members commissions which would get processed the same way as commissions earned by Tuco and would be paid directly to Frederick. T3 did a high volume of trading through Tuco's accounts Sir Larry- Could you explain the rerlationship with T3. Do you mean T3 Capital? What will be the effect of the Tuco Settlement on T3 traders?
jru. I have no clue who they are. That was an excerpt from the receivers PDF. I do know that a LLC can not have sub-accounts in the name of an LLC or have multiple members on one sub-account.
yes thats t-3 capital. it seems tuco hooked up with t-3 and they combined vol to get a better rate. even though t-3 was under tuco the document says tuco made no money off t-3 capital.reading all the documents from this case something smells rotten. for the court to get a reciever and higher lawyers its very serious. i'm sure if mike kestler has to pay everyone back out of his pocket people will get most if not all there money.
wow what a blow to the equity trading industry, it was only a matter of time before the sec stepped in and action was taken. I see many equity trading firms pulled their listings off craigslist rather fast after that news hit the streets. I would think Tuco most likely complied with what was layed on the table and is most likely making a settlement agreement. I actually work with one trader who just transferred from there and he said he was able to get half his deposit back but the remaining he will not be receiving until a later date. I rather not say the trading firm I am with but they are a Sub-LLC off of Assent and good thing they are in compliance with everything. Spoke with many traders who are bummed out about this whole thing. Looks like the only option for new traders now is get your 7 put up a minimal capital contribution or open a customer account with 25k giving you 4:1 intraday and 2:1 overnight.
Receivership is a normal thing in the course of business. If a company is going under and there are potential creditors at risk (in this case, all of the members, the SEC in their mind it seems is acting what *THEY* think is in the best interest of protecting traders), then they apply to bring in a receiver who handles orderly disposition of assets, and all the rest. The lawyers/receivers are part of the legal dissolution process and a neccessary part to ensure everything is dissolved according to the law. Unfortunately, they get a cut of the funds available.
isn't that just great... the vultures pick at the traders' carcasses. the SEC, under the false pretense of protecting the traders have cost them thousands. only in AmeriKa. wouldn't it be nice if the SEC actually did something useful like shut down the massive illegal naked shorts? or maybe just maybe tell us where that 9/11 put options trail led to? or maybe throw jim cramer in jail where he belongs? but hey.... they sure took down this evil do'er!!! i feel safer already: i know the SEC reads these pages... i have a question for you guys/gals: Do you have any self respect left at all.... or do you just care about getting that pay check? there are some decent people working at the SEC but they know their bosses are corrupt... why not do something? they are criminals and you know this.