Italy's financial regulator CONSOB has issued a notice to shut down 7 websites for conducting illegal trading services within the country.
March 8, 2020 | AtoZ Markets – The Companies and Exchange Commission (CONSOB), the Italian financial regulator, has announced that it will leverage its new powers. The regulator was granted these powers under Law no. 8 of 28 February 2020 (article 4, paragraph 3-bis).
CONSOB block websites offering financial products without prospectus
These new regulations grant Consob the power to order Internet service providers (ISPs) to block access to certain websites. In particular, websites that offer and/or advertise various financial products without the proper prospectus.
Recently, Consob decided to use these powers by ordering seven websites that offer financial services without the proper prospectus to be blocked. The seven websites are:
- Ankor Group Investment Ltd and IFXBanc Ltd (www.ifxbanc.com);
- Redal LTD and Elit Property Vision Ltd (https://financepro24.com);
- “Terra Finance” (https://terra-finance.co);
- Platiniumfx Ltd (www.platinium-fx.com);
- Elit Property Vision Ltd and FxRoyal Ltd (https://richmondfx.co and https://royal-fx.com);
- Blue Stone Invest Gmbh (www.bluestoneinvest.at).
Websites blocked by CONSOB rises
The total number of websites Consob had blocked since it gained its powers back in 2019, has risen up to 168. CONSOB has the powers to order a general blackout of websites that use abusive financial intermediaries, way back
Currently, the process needed to block the aforementioned websites through the various Italy-based ISPs, are currently in progress. The procedure itself takes a few days to implement, due to the technical work needed to remove a website’s access from an entire country.
Leveraging other methods
Consob leverages other measures to ensure the protection of their investors, besides the process of blocking unauthorized websites. Back in December 2019, Consob banned Rodeler Limited, a Cypriot parent company of both 24fx and 24option. The ban stopped them from providing investment services within Italy, as well as making any form of acquisition or solicitation of new clients within the country.
Consob stated that Rodeler Limited repeatedly violating the regulations in force, hence, the measures taken. This comes in spite of the Cyprus Securities and Exchange Commission (CySEC) issuing a response to the reports Consob had sent it.
Italy is cracking down hard against the various companies. While this wouldn’t do much in terms of those that use a VPN service. It’s an admirable measure, even if it’s trying to empty the sea with a bucket of water.
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