My good friend Todd has had another problem with his trades on TS

He wrote them, stating:

TS -

Straight up - this is b!@#$%^&. No other way to put it.

You explain to me how this is an unrepresntative price?? The game is tied 2-2 at the 2nd Period intermission - The total is 5.5. I sold the over to someone at 38. Therefor more than 72% of the total has been achieved in 66% of the game. If ANYTHING the advantage was given to the person I sold the over to. In addition, as anyone who gambles knows, in 1 goal games - an empty net goal is a possibiliy of over 60% - giving a complete advantage to the person holding the over contract. Had ONE goal been scored in 19 minutes of action ( After having 4 in 40 Mins of action) - there would have been a 60% chance of an empty net goal in the FINAL 1 MINUTE of play.

The only person who gets screwed here is me. I GAVE AWAY advantage selling this line because I wanted action in the final game of the night. And now your pulling this b!@#$%^&?? I want a $152 trading credit - and there is no alternative resolution. You are STEALING money from me that I won fair and square. I risked $248 to win $152 on a contract that should have been 50/50. Do the math yourselves.

If an NBA team leads by 3 going to the 4th qrtr and is a 4 point favorite - ask your MMers what the price should be. 75. If an even money pre game line is tied at half time or at the end of the 3rd qrtr and it right on pace for hitting the line - line is 50. THIS GAME WAS AHEAD OF PACE FOR THE OVER AND I SOLD THE OVER TO SOMEONE AT PLUS VALUE!

You need to change your action on this event immediately. This is a fraud to help your market maker - as had it gone the other way - first off, I would have NEVER asked for an over turn - and secondly this conversation wouldnt even take place. I have never asked for a sports over turn on a misrepresentative price. Someones Ill sell a position at a disadvantage just to have action and have something to watch - JUST AS I DID last night...

And now what happens? You take the $$ from my account. Its fraud - its theft - call it what you want - but this is DEFINATELY NOT a misrepresentative price. And correct me if Im wrong but doesnt a misrepresented price need to be 20 points from actual??? So your saying actual value of this over was 17?? Ive talked to many high volume traders and the price range they give me is from 55-80 as Fair value.

This is straight up b!@#$%^&. Look at the facts. You STOLE money from me.

Todd

TS responded:

Hello Todd,

Further to our earlier email the following trades you made on last nights NHL games have now been reversed under Contract Rule 1.2:

NHL.CAL@SJS.OVER5.5 Sold 40 contracts at a price of 38.0 at: 05:32:27 AM GMT 01/04/08

We regret having to take this action but under Contract Rule 1.2 the Exchange reserves the right to reverse any trades that may have occurred at an unrepresentative price. Unfortunately pre-game orders failed to cancel and were later filled at unrepresentative prices.

Any trading fees charged for these trades will be refunded within the next 60 minutes.

If you have any questions or comments regarding this matter please reply to this email.


Kind regards,

Customer Services Team
Tradesports Exchange Operations

Sometimes trades are done at incorrect prices. But Todd's case seems sound to me. I understand that TS needs to protect the interests of the market makers, but it shouldn't be at the undisclosed or unfair expense to its other market participants.

I suggest that TS initiate a Self Regulating Organization to arbitrate these types of cases. Of course, funding this initiative would result in another fee for the traders to pay.

Todd is one of the prolific participants at TS. More posts involving him can be had here.

UPDATE: Todd's latest submssion:

I dont care about win or lose - $152 is meaningless to me.

So does this mean ifI accidently leave up an order pre game that is matched in game I can get my trades reversed?

Im not exactly sure what rational your company uses anymore. When I come onto live help to ask how to get a MMer to come back to a featured event - I am told "We have nothing to do with the market makers making markets". So shouldnt the same policy be in effect if a market maker leaves me hanging with a position I dont want because YOU advertise it as inrunning. So does that mean youll refund me? You are so one sided in these issues its disgusting.

I bought a position at a MORE than fair price. Cancelling my trade is stealing money from me.Ive lost before on markets that appeared to be left up - and those werent reversed. Tradesports owes me $152 and needs to clarify its rules so everyone understand the market maker protection.

And clarify this for me please. When I see a market posted at halftime in a game... how do I know if its from pregame or not?? I sold my lots to someone for a bargain price - and now you screw me.

There is no rational to your decisions, and I do not plan to let this one go.

You and the MMers are either partners or your not. If you protect them - hold them accountable. Dont just do it when its convenient for both of you.

$25,000 + in fees later - and Im still getting screwed.

Todd