In another episode of a long campaign, Italy’s financial regulator, Consob, has again blocked access to a number of investment websites, including those with licenses in other jurisdictions.
The watchdog has added seven domains to its registry of banned internet sources for the illegal promotion of commercial products in the country. She added that fraudsters could pose as regulated financial service providers due to the ability to register domain names under relevant suffixes such as “.bank” and “.fin”.
Italy’s securities regulator has carried out a rampant crackdown to protect retail investors by making illegal financial services inaccessible.
Italian investors have been warned not to purchase financial services from:
Tetris Group Ltd (website https://battletrade.io)
– Eudaimon Consulting LLC (website https://aceinvest.co)
– “FTI Finance” (website www.ftifinance.com)
– FX Publications, INC and Dlfinindex Ltd(website https://dolfinindex.com and associated page https://client.dolfinindex.com)
– Promarketing Ltd (website https://greencapitalz.com and related page https://platform.greencapitalz.com)
– Global Success Management Inc., Be Free Ltd, Imperial System Ltd EOOD e Ivory Dunes Limited (websites https://globalsuccessmanagement.com and www.gig-os.com)
The number of sites blocked since July 2019, when Consob won the power to ban websites of financial intermediaries it deems unregulated, has risen to 708.
Today’s blacklisted sites offer forex and CFD trading, but CONSOB says some of the names in the warning deal with crypto assets, either in the form of underlying coins or its associated derivatives such as CFDs.
The crackdown comes after Consob refined its process for identifying non-compliant companies. Recently, the regulator went after a handful of CySEC-licensed brokers and ordered them to cease trading in the country. The rulings also prevented Cypriot intermediaries from soliciting clients or continuing its current relationships with Italian clients.
At the time, Consob specified that it had taken its decision under article 7-quarter, paragraph 4 of the coordinated finance law (TUF), as well as article 86 of Mifid2. This legislation allows CONSOB to order investment firms and brokers operating in the country from another EU member state, through the EU passport regime, to cease their activities after having informed the competent authority of the Member State.
The Italian regulator found new tools to tackle illegal operators in the market when the “Growth Decree” extended its powers far beyond that. Through the decree, CONSOB can order Italian internet service providers (ISPs) to block websites in the region. For technical reasons, it may take several days for the blackout to take effect when these websites are temporarily closed.