The U.S. Commodity Futures Trading Commission (CFTC) today issued an order filing and simultaneously settling charges against Plantation, Florida-based IBFX, Inc. (IBFX), formerly known as TradeStation Forex, Inc. IBFX is a wholly owned subsidiary of TradeStation Group, Inc. and a CFTC-registered Retail Foreign Exchange Dealer (RFED).
The CFTC order requires IBFX to pay a $1 million civil monetary penalty and agree to certain undertakings set-forth in the order.
Note that LeapRate reported in late February that OANDA has reached an agreement to acquire all of the forex accounts of IBFX (TradeStation Forex), as IBFX is exiting the forex dealer business. The transfer is set to happen during March.
What led to the fine?
The CFTC found that from January 15, 2015, through February 5, 2015, IBFX failed to meet its minimum capital requirements, failed to notify the CFTC of its undercapitalization, and failed to diligently supervise its employees in violation of CFTC Regulations.
The order also settles charges that IBFX violated a prior CFTC Order entered against IBFX on December 10, 2014.
In settling this matter, the CFTC has taken into account IBFX’s substantial remedial actions after it discovered its deficiencies as well as its cooperation with the CFTC.
To see the CFTC press release on the matter click here.