So last night I’m in a small $60 turbo . With about 15 players left 2 guys get moved to my table in the 3 and 4 seats. Dealer then says seat five is big blind only no small blind. I look down at j9 of diamonds and because of my position and size of my stack I fold the hand the 7 seat folds and the 8 seat raises 3 times the blind . It gets to the two seat and the player says the dealer messed up seat 5 was suppose to be the small blind and seat 6(which is myself) was suppose to be the big blind. The floor then gets called over and rules that I need to forfeit a big blind (1/5 of my stack) because action has already started and calls it a dealer error. My question is is this right? Shouldn’t things have just played out and the next hand I be big blind only to put the order back into the table. Why did I get penialized 1/5 of my stack based on a dealer error ?

Sounds like some BS since you had already folded. Don't know about the actual rule though.

Sounds like a missdeal to me !

That's ridiculous. Preflop action hasn't even completed so there is no reason they can't declare a misdeal and replay the hand. Stupid ruling.