Red Compliance | FinTelegram News

Category: Red Compliance

March 6, 2023

Offshore Broker Capital Street FX With Red Compliance Rating!

Capital Street FX is an offshore broker operated via Capital Street Intermarkets Limited in Mauritius and UK-registered Minus Zero Technologies Limited. The broker is controlled by Indian nationals and has an office in Dubai. While clients seem to be happy and provide good reviews, Capital Street FX does not have authorization for its most important markets in North America or EEA. Consequently, we have assigned a red compliance rating.

March 2, 2023

Red Compliance Rating For Unauthorized Offshore Broker LQDFX

Offshore broker LQDFX has been on our radar for about two years now. The scheme was founded by the well-known fintech entrepreneur Ozan Ozerk a/k/a Ozan Özerk, who founded several regulated ventures, including OpenPayd or EuroTrader. The UK FCA recently warned against the offshore broker LQDFX, which operates without regulatory permission in the United States, EEA, and UAE. We have added the broker to our Red Compliance list.

February 20, 2023

Update: ‘Gen-Z of Broker’ Opofinance And Its Compliance Rating!

In October 2022, we issued a warning against the offshore brokerage scheme Opofinance, operated by offshore entities in the Seychelles and St. Vincent & The Grenadines. Opofinance operates under a securities dealer license from the FSA Seychelles in most regulatory regimes worldwide without a license. In doing so, Opofinance also violates regulatory requirements and falsely claims that membership with the Financial Commission will protect investor funds. Compliance rating: Red!

February 20, 2023

Attention: Japanese Broker Scheme GEMFOREX Received Red Compliance Rating!

GEMFOREX is a Japanese offshore brokerage scheme registered with the FSA Seychelles as a securities dealer. The website names as operators the two offshore entities GEMFOREX Limited and GEMTRADE Co. Ltd in Seychelles and, since December 2022, also ZRX Technologies Ltd in Cyprus. Similarweb statistics show that almost 100% of the nearly 9.7 million website visitors come from Japan. Here is our initial review and our rating.

December 7, 2022

Urgent Warning Against Offshore Broker Scheme CedarFX

In March 2022, we already warned against CedarfFX broker scam that presents itself with a green touch. The offshore entity Cedar LLC in St. Vincent & The Grenadines, incorporated in Sept 2020, allegedly operates the scheme. Victims can deposit their funds with Bitcoin. Alternatively, you are offered to deposit via wire transfer. In this case, you are redirected to Instacoins . There you can buy cryptos that are automatically transferred to CedarFX's wallet. Stay far away!

Solaris Bleeds Cash and Jobs: Can This High-Risk Fintech Survive, Let Alone IPO?

Solaris, a German fintech and neobank, has a long history of compliance troubles. Moreover, its ongoing financial losses and regulatory woes doubt its long-term profitability, even as it sheds jobs and restructures for survival. A potential IPO, as rumored by the German platform Gründerszene, seems speculative at best in light of its deep-rooted issues with compliance and financial stability.

Breaking: The Binance-Like $3.1 Billion Money Laundering Settlement of TD Bank!

TD Bank, one of North America's largest financial institutions, has been hit with a historic $3.1 billion settlement over money laundering violations. This case represents one of the most significant AML enforcement actions in U.S. history, both in terms of the financial penalties imposed and the severity of the admitted misconduct. Only Binance, with its $4.1 billion settlement, was even larger.

Gotbit and Russian Executives Charged by U.S. DOJ and SEC for Crypto Market Manipulation!

Gotbit Consulting LLC, along with its Russian executives, has been charged by the U.S. DOJ and SEC for its role in a widespread market manipulation scheme. By using wash trades, Gotbit inflated crypto asset prices and volumes, deceiving investors and raising millions in illicit profits. The company’s fraudulent activities were executed across multiple jurisdictions, with key figures now facing extradition and prosecution.

SEC Charges Market Manipulators in Crackdown on Crypto Asset Fraud

The U.S. SEC has charged three market makers and nine individuals for manipulating the crypto asset market, generating artificial trading volumes and misleading retail investors. The fraudulent schemes created the illusion of active markets, prompting unsuspecting investors to pour money into manipulated crypto assets. The DOJ filed criminal charges against the scheme operators in a parallel transaction.

U.S. DOJ Charges 18 Individuals and Entities in Global Crypto Fraud Crackdown!

The U.S. DOJ has charged 18 individuals and entities in an international operation targeting market manipulation and fraud in the crypto industry. The defendants, including market makers and token promoters, are accused of using wash trading and false trading activity to deceive retail investors and artificially inflate crypto prices. This is the first major criminal case of its kind in the crypto market.