FCA Takes Action Against Illegal FX Investment Operation

The FCA is continuing its efforts to put an end to the illegal investment operations that take place against its rules and regulations. After FCA filed an application to the Supreme Court, several court orders were issued yesterday to individuals participating in a forex scheme.

The perpetrators were operating through via a company based in Cyprus under the name of Noerus Investments Limited. According to the FCA website, orders were also sent to people who helped the participants in the illegal scheme.

The Scheme
The allegations show that at least 1.2 million pounds have been acquired from Noerus to invest in the FX market. The funds have been collected from 65 global investors. However, funds have obviously never been invested in the forex market or any other form of an investment. The illegal operation was carried out by Noerus between December 2014 and November 2015.

The answer
The FCA reviews such cases very seriously in order to protect investors from unlawful and unethical practices within their jurisdictions. The regulatory watchdog is vigilant in warning the public in cases where there is substantial evidence to suggest illegal activity.

This security program was further clarified in a statement by Mark Stewart, Director of Enforcement and Market Oversight. "The FCA will continue to use its powers to prevent companies that carry out unauthorized regulated activities without FCA approval, to recover the losses caused by their acts and to take full responsibility for all affected parties".

In addition to the court orders issued to members of Noerus and to the other participants in the scheme, actions have also been taken to recover the lost funds. The Supreme Court has issued a restitution order that requires defendants to recover the lost funds of £ 1,230,298.41, which will be returned to investors.

Current analyzes show that not all assets are available, which would lead to a shortage of funds that need to be returned. Therefore, the court has developed a plan to allow the FCA to provide the funds. In addition, the Supreme Court has issued orders that would prevent any other illegal activities from these individuals.

Source: Finance Magnats
Eng. Yanislav Kutsarov