The Cyprus Securities and Exchange Commission (CySEC) has withdrawn the
Cyprus Investment Firm (CIF) license of forex and CFDs broker Maxiflex Limited
for a number of violations, including one relating to the prevention of the use
of clients’ funds for their own account. The Cypriot securities regulator
announced the withdrawal on Monday, noting that its Board reached the decision
on December 5th last year.
According to CySEC, Maxiflex also violated other articles of the
Investment Services and Activities and Regulated Markets Law of 2017. The
articles violated are related to the suitability of shareholders and the
safeguard of the rights of clients. Non-compliance with these articles meant
that Maxiflex stopped observing its licensing or authorization conditions, the
CySEC added.
The withdrawal comes over a year after CySEC suspended Maxiflex’s license for allegedly conducting business not stated in its
authorization. In addition, the financial markets watchdog at the time alleged that Maxiflex
was not complying with sections of the Markets Law related to the suitability of the members of its management body and shareholders as well as those that state organizational requirements.
However, a month later, that is in November 2021, Maxiflex voluntarily renounced its CIF
license and terminated all its activities. The company told Finance Magnates at
the time that it was “not feasible for us to continue our operations at this
point.”
According to CySEC’s public register, Maxiflex Limited, which was
previously called Maxiflex Global Investments Corp. Limited, was licensed in
November 2014. The company operated approved domains www.europefx.com
www.europecapitalgroup.com www.europestocks.com.
With the license now withdrawn, CySEC noted that Maxiflex should
immediately remove all reference to its investment services or activities on
its websites. The brokerage firm is also required to delete any reference to
its licensing and supervision by CySEC on its these sites.
In addition, CySEC asked that Maxiflex investigate and resolve all
customer complaints brought before. The brokerage company is also to ensure that it does not provide investment and ancillary services.
Inactive Websites
Meanwhile, in its check of the three previously approved domains of Maxiflex, Finance Magnates found that the domain names of both europstocks.com and europecapitalgroup.com are now up for sale.
On the other hand, www.europefx.com still carries the message that the broker has voluntarily renounced its CIF license and no longer accepts new clients or carries out investment services or activities.
A screenshot of the Europe FX website taken on March 6th 2023.
The Cyprus Securities and Exchange Commission (CySEC) has withdrawn the
Cyprus Investment Firm (CIF) license of forex and CFDs broker Maxiflex Limited
for a number of violations, including one relating to the prevention of the use
of clients’ funds for their own account. The Cypriot securities regulator
announced the withdrawal on Monday, noting that its Board reached the decision
on December 5th last year.
According to CySEC, Maxiflex also violated other articles of the
Investment Services and Activities and Regulated Markets Law of 2017. The
articles violated are related to the suitability of shareholders and the
safeguard of the rights of clients. Non-compliance with these articles meant
that Maxiflex stopped observing its licensing or authorization conditions, the
CySEC added.
The withdrawal comes over a year after CySEC suspended Maxiflex’s license for allegedly conducting business not stated in its
authorization. In addition, the financial markets watchdog at the time alleged that Maxiflex
was not complying with sections of the Markets Law related to the suitability of the members of its management body and shareholders as well as those that state organizational requirements.
However, a month later, that is in November 2021, Maxiflex voluntarily renounced its CIF
license and terminated all its activities. The company told Finance Magnates at
the time that it was “not feasible for us to continue our operations at this
point.”
According to CySEC’s public register, Maxiflex Limited, which was
previously called Maxiflex Global Investments Corp. Limited, was licensed in
November 2014. The company operated approved domains www.europefx.com
www.europecapitalgroup.com www.europestocks.com.
With the license now withdrawn, CySEC noted that Maxiflex should
immediately remove all reference to its investment services or activities on
its websites. The brokerage firm is also required to delete any reference to
its licensing and supervision by CySEC on its these sites.
In addition, CySEC asked that Maxiflex investigate and resolve all
customer complaints brought before. The brokerage company is also to ensure that it does not provide investment and ancillary services.
Inactive Websites
Meanwhile, in its check of the three previously approved domains of Maxiflex, Finance Magnates found that the domain names of both europstocks.com and europecapitalgroup.com are now up for sale.
On the other hand, www.europefx.com still carries the message that the broker has voluntarily renounced its CIF license and no longer accepts new clients or carries out investment services or activities.
A screenshot of the Europe FX website taken on March 6th 2023.