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Screenshot of a breaking news alert e-mail from Q2 2017
The Board of the Cyprus Securities and Exchange Commission (CySEC) has informed the public that, at the meeting held on 13th November 2017, it has decided to impose a total administrative fine of €138.000 to CIF ICFD Ltd for non compliance with several issues (see below).
ICFD Ltd operates the iForex Retail FX brokerage brand.
Or Kapelinsky, the Managing Director of iCFD Ltd., provided the following comment on the matter to LeapRate:
iCFD received today the decision from CySEC and is currently studying it together with its legal advisors.
The fine is a result of an audit conducted by CySEC almost three years ago. iCFD fully cooperated with CySEC and presented detailed factual representations evidencing its compliance with most of the findings brought to its attention. Regardless of the audit and without any relation to its outcome, iCFD invested considerable resources to strengthen its procedures and controls in order adhere to the requirements arising from ESMA’s Q&A and MiFID II.
CySEC listed the following non compliance reasons for the fine:
- Section 6(8) of the Investment Services and Activities and Regulated Markets Law of 2007, as amended from time to time (‘the Law’),
- Section 28(1) of the Law, as it failed to comply, at all times, with the authorization and operating conditions laid down in sections 18(2)(a) and 18(2)(d) of the Law, as specified in paragraphs 14 and 16 of Directive DI 144-2007-01 of 2012 of the Securities and Exchange Commission for the Authorisation and Operating Conditions of CIFs,
- Sections 36(1), 36(1)(a), 36(1)(b) and 36(1)(d) of the Law and paragraphs 4, 6, and 16 of Directive DI 144-2007-02 of 2012 of the Securities and Exchange Commission for the Professional Competence of Investment Firms and the Natural Persons Employed by them.
The official announcement can be seen here.