CySEC imposes €50,000 fine on CommexFX

Soon after imposing a monetary penalty of €100,000 on Cypriot Forex broker CommexFX, the Cypriot regulator fines the company again. This time the penalty is €50,000.

The decision for the fine was made at a CySEC Board meeting on February 1, 2016. The sanction relates to CommexFX’s violations of section 139(2) of the Investment Services and Activities and Regulated Markets Law of 2007. In particular, the regulator alleges that the broker submitted to CySEC documents during the years 2012, 2013 and 2015 which are false or/and provide false information in relation to the Company’s bank accounts balances.

In reaching its decision, the regulator has considered the following:

  • CySEC logoThe importance attributed by the legislator to violations of this kind, which is reflected by the maximum administrative sanction provided for violations of section 6(8) of the Law, in section 141 of the Law, i.e. €350,000.
  • The importance attributed to the need to ensure that the persons subject to the supervision of the CySEC comply fully with the provisions of the Law and the relevant Directives.
  • The seriousness attributed to the fact that the details submitted to CySEC must be correct and not false for ensuring the compliance of the persons subject to the supervision of the CySEC with their obligations pursuant to the law.

Meanwhile, the Cyprus Investment Firm (CIF) license of CommexFX remains suspended.

You can view the announcement from CySEC by clicking here.

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