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Screenshot of a breaking news alert e-mail from Q2 2017
Cyprus financial regulator CySEC’s typical modus operandi when faced with a suspension-worthy offense by one of its regulated entities is to suspend the CIF license of that company for one month, giving the company a full 30 days to fix things.
Sometimes that happens, but sometimes it doesn’t happen.
In the case of retail forex broker UBFS Invest (full legal name: UBFS Invest Powered By Moneychoice Brokers Ltd), their one month suspension issued at the end of May has been extended by another month.
CySEC has stated that UBFS appears to be non-compliant with Cyprus’ law of protection of client funds, its own funds appear to be less than the sum of its capital requirements, and its total capital ratio appears to be less than the requirements of the Regulation.
CySEC’s decision was reached due to the fact that the aforementioned alleged violations may possibly endanger the company’s clients’ interests and generally the smooth operation of the capital market.
The UBFS website as well appears to be down, with the message below appearing on ubfsinvest.net.
CySEC’s full note on the matter can be seen here.