The Dutch Authority for the Financial Markets (AFM) has imposed an administrative fine on Rodeler (NL) B.V. and Rodeler Limited, trading under the name 24Option.com.
According to the Dutch regulator, the €15,000 monetary penalty resulted from Rodeler NL and Rodeler Ltd failing to provide cooperation to information request.
The two companies operated the online investment platform 24option.com. The AFM was investigating whether Rodeler NL required a licence from the AFM for its operations and whether the firm was engaging in unfair trading practices.
In its investigation, AFM requested telephone conversations between Rodeler NL and customers which the company failed to provide. The financial markets regulator stressed the seriousness of the violation as it resulted in hindrance of supervision.
The administrative five was also imposed on Rodeler Ltd as the AFM found the firm directed Rodeler NL in the violation.
The AFM highlighted that such violations can result in a fine of up to €2 million. However, in its decision to impose a €15,000 fine, AFM took into consideration the limited financial strength of both companies and previous fines the companies received further weakening their assets.
Earlier this year, the Cyprus Securities and Exchange Commission (CySEC) withdrew the Cyprus Investment Firm (CIF) license of Rodeler Ltd after the company settled a €280,000 fine for “possible” compliance issues.
Experienced writer and journalist, working in the global online trading sector, Steffy is the Editor of LeapRate. She has previous experience as a copywriter and has been with the company since January 2020. Steffy has a British and American Studies degree from St. Kliment Ochridski University in Sofia.