This was written by Hitman on his site in response to this rumor. My understanding is our firm is trying to get out of the overnight business. Some of our traders are holding insane amount of positions via overnight's with relatively very little of their own capital on the line. Overnight positions add great risk to a prop firm's account and provides relatively very little commissions. When the market is tough you have to play hard ball and this is a good time to clamp down on all but the biggest traders with massive capital in their accounts. Perhaps most importantly the potential threat of a terrorist attack during the holiday week(end) adds an extra layer of event risk, I think the firm is doing the right thing to say no to overnight's. As a whole we are still hiring and we are still throwing fishing trip parties (the winner won $500 on Saturday and every kid on the boat got $100, it was a blast for 100 people on a really nice boat) so I think we are ok. Of course if WCOM can be a fraud maybe something is rottening behind the smoke but that is the risk you take as a proprietary trader, I have 35K in my account right now (looking to withdraw another big batch right before I go in contract). Let me put it this way, in this climate no firm is immune, every firm is vulnerable, I think Worldco is one of the top 3 firms (Schonfeld / Bright) in term of overall stability, and that's the side I am on, the risk I am going to take.