CySEC has announced that UFX (Reliantco Investments Ltd) has paid a penalty of 100.000 EURO for violating the Investment Services and Activities and Regulated Markets Law of 2007!
cysec made a recall for their fine against Reliantco Investments Ltd. How is that possible such a highly respected regulator fines a broker and then makes a recall. . .
. . . I find the whole thing strange. Cysec doesn't move often and doesn't move fast. I'd have to say that an announced fine and recalling the fine announcement in the same day is very unusual.
I saw over at Forex Magnates and another site that the reason for the fine appears to be the fact that UFX Markets weren't really operating from Cyprus with the company not having any real physical presence in the jurisdiction. With the UFX Markets representative stating that Cysec fine related to the 'Company’s disproportionate high growth rate compared to its increase in personnel' and in response to such concerns Reliantco would 'In an effort to satisfy CySEC’s requirement the Company shall continue to expand its team of global financial experts at an increasing rate specifically at its Cyprus head office'. It will be interesting to see whether UFX Markets go on to establish a proper physical presence in Cyprus.CySec today re-issued its Announcement previously issued then withdrawn on Jan 31, 2013, with some changes:
http://www.cysec.gov.cy/Downloads/E...nt reached with Reliantco Investments Ltd.pdf