This article finally marks the sad and pathetic end to Guy Gentile’s Bahamian brokerage known as Sure Trader.
The Bahamian regulator, as of March 2020, has now placed this rotten fraud filled carcass and never-ending financial shitshow into receivership.
Guy Gentile is the gift that keeps on giving. His exploits are legendary. And not in a good way. I will miss writing about Sure Trader.
TradingSchools.Org has now written seven articles about Guy Gentile, over the past 6 years.
After each article, Guy screams and hollers at me. Always promising to sue me. But like a toothless old dog, the threats and snarls and missing teeth become sort of endearing. It is pathetic — but in a cute sort of way.
The remainder of this article is especially for all the suckers that opened an account with Sure Trader. For all the shady “trading educators” that pushed their customers to Sure Trader. And for all the publicly traded companies that were abused by Sure Trader through “pump and dump” schemes.
What you are about to read is going to make all of you very mad.
Sure Trader: What The Regulators Discovered
As readers are aware, Sure Trader officially ceased operations on November 8, 2019.
However, what readers were not aware, is that Sure Trader was being audited by the Bahamian Securities Regulator.
But the Bahamian Securities Regulator is not known for its amazing powers of investigation. Detectives…they are not. In fact, the de facto head of the department also serves as custodian of the local animal shelter and sells conch cocktails from a roadside stand.
However, they did get one thing correct…knowing that Guy Gentile is an expert swindler with more stories than Mark Twain, they decided to hire American based accounting firm Ernst and Young to conduct a full audit and investigation of Sure Trader.
The folks at Ernst and Young have seen it all. The forensic auditors are real pros. They stripped away Guy’s fancy stories and like gasoline over cheap paint…they got to the truth.
The Truth About Sure Trader
According to the Securities regulators and auditors, it turns out the Sure Trader never really was a stock brokerage. Not even close.
In fact, according to court documents, Sure Trader was never actually executing ‘real’ stock trades on any customers’ behalf.
Customers also thought they were depositing funds into segregated accounts under the protection and purview of the Bahamian regulator. But as Ernst and Young discovered, the customer accounts were actually being sent to non-registered entities in the UK and Canada. This was in direct violation of the Bahamian regulator.
The money went right into Guy’s personal piggie bank. Such a safe place.
Additionally, and most troubling…Sure Trader was never actually executing trades on customers’ behalf! In fact, and as Guy Gentile admitted during the examination that all customer trades were “simulated.”
Guy Gentile purported that Sure Trader does not own any inventory of securities, but rather is in a “short” position relative to its clients.
In other words, Guy Gentile’s Sure Trader was nothing more than a bucket shop. A gambling parlor. Where he acted as the “bookie” and paid bets if traders were somehow miraculously able to earn a profit.
The Securities Regulator even stated, “Sure Trader is nothing more than a Ponzi scheme.” I wish I were making this shit up.
Further, the regulator stated to the Judge that “Unbeknownst to customers, they were never actually buying or selling any stocks.” And “Customers bets were paid directly by Mr. Gentile and not from segregated or regulated accounts.”
How It All Worked
According to the auditors, new accounts were mainly referred by day trading chatrooms — they even mentioned Tim Sykes by name.
Money was deposited into illegal accounts, as per the regulator, and then traders were assigned “monopoly money.”
The trader would then trade their monopoly money on the DAS platform. Of course, the DAS platform is owned and operated by Karen Gentile. Guy’s ex-wife.
Traders were charged all sorts of whacky fees. Exchange fees, margin fees, transfer fees, commission fees, platform fees, you name it — this burrito had more ingredients than Chipotle. But there were no actual trades! No exchange, no margin debt, no transfers, no nothing. It was all a mirage, meant to hustle consumers, according to the Bahamian regulator.
All of it was just a clever stock trading video game that tricked consumers into believing they were actually trading real securities.
If you had an account, don’t you feel stupid?
Does The Fraud Continue?
Fraudsters typically don’t stop committing fraud until they are imprisoned.
Guy Gentile has already admitted he committed securities fraud. But he skittled out of going to prison…only because he pulled a Tekashi 69.
Truthfully, I am not upset he is a rat. Everyone is a rat. When the Fed’s are dangling 10 years over your head, you would rat out Grandma for a sentence reduction.
But the big question, does the fraud continue? Is Guy still defrauding customers with yet another phony stock trading company named F1Trade?
Surely, Guy will never admit that he has anything to do with F1Trade. But what if the Fed’s come after his ex-wife Karen? Will she squeal? Likely she will. But that will be another article.
Like I said, Guy Gentile is the gift that keeps on giving.
Thanks for reading.
And thanks to the advertising sponsors at TradingSchools.Org. Without your support, I couldn’t write these shitty articles.
Additional Sources: SEC V Guy Gentileponzi-scheme
is tradezero doing the same scam?
Is it just me, or since COVID 19 has the number of training ads and product offerings hitting your inbox intensified? All those glorious opportunities to take advantage of whilst some of us are sitting at home passing the time when one could be making millions so as to not to worry about ever having to go back to that job or business which may not even exist anymore?
So SureTrader another NONKO , it starting to appear that all these Caribbean offshore brokers are just frauds.I hope somehow it all gets shutdown and force people to save up the freaking 25k++ to open US account. So when is that Rat Meir gonna get shut down too?
You don’t necessarily need $25,000 in your account for US-based brokers unless you’re looking to day trade more than three times a week with margin, which bears an almost unquantifiable amount of risk. If you have an account that’s settled in cash at the end of each trading day you can day trade all you want as long as you aren’t utilizing margin. Also, you can swing trade all you want with less than $25,000, even with margin. I hope this helps anyone who may be starting with a smaller account.
you are right but probably over 90% of the people that come to read the latest do not fit your ideology for trading. Most of us are day traders not position , swing or long term investors.
That’s actually an unfortunate aspect of the retail trading industry I’m trying to change. No professional trading advisor or proprietary trader I know of trades anything smaller than 1 hour bars, and I personally will not advise any trades to my clients on any smaller timeframe than that. The trades I advise on last anywhere from three to twenty-four hours, and I’ve found that to be a much more sustainable model. I’m trying to help others keep in mind that the smaller your timeframe is, the more erratic and therefore less reliable your chart analysis will be.
Oh Steve, I am sorry, you slipped through the cracks. Got your voice mail.
Yes, I will get your post up next week.
That’s great Emmett! Thank you very much. If you need anything from me feel free to reach out any time.
Make a banner ad. Title it, “Ask Broker Steve Anything.” with maybe a picture or something. I will put it on page one, where my ads are sitting. That should help you drum up some business.
Thank you Emmett, I’ll get right on that. I’m looking forward to the idea of bringing some legitimacy from an educated, licensed, and regulated strategist to this industry.
Hey Emmett, I just emailed you.
That, or newbs to short timeframe daytrading are better off trying micro-futures or practicing in forex with mt4. It’s scam pump’n’dumpers like Ross of Warrior Trading shamshow, of the “architect” lie and his grey hoodie trifecta team, bribed off corrupted “review” sites like ripoff and ‘trust’pilot, incl. IP filtering post shenanigans, that are continuing to getting all these duped teens, young guys, and newbs dreaming about scalping penny or deflated stocks in a few seconds. Interestingly the insignificant book authors like Al B_ooks aren’t doing so well it seems now, as young newbs don’t even want to read anymore, with the sham-learning-material trend seeming to now be myriad youtube “guru” “instructional” free, to upsell signup videos and youtube channel shamshows.
This is truly sad…I guess it makes more sense as to why I’m hung up on time to time when I’m making sales calls. This type of egregious lack of respect gives people like me a bad name.