21 April AtoZForex, Vilnius — Recently, the Australian Securities and Investments Commission (ASIC) received an additional fund of $127 million by the Australian government. The substantial fund is meant for ASIC to boost enforcement and surveillance capabilities. Considering that the local and international financial markets are experiencing a surge in Forex and Binary Options frauds. One the most recent case is the uBinary ASIC warning, issued today by the Australian watchdog.
The Australian regulator’s advisory ruled today an uBinary ASIC warning. Based on the discovery that the Binary Options broker was soliciting Australian investors, without possessing over the right authorization.
Offshore parent company
According to the website of uBinary, the Binary Options broker was initiated in 2011. The Binary Options broker offers various tradable instruments, ranging from foreign currencies, commodities, indices and even stocks. The Binary Options broker provides its services through ubinary.com and is operated by UB Innovation Limited (98519), which is registered in the Marshall Islands. Despite, the parent company is registered in the Marshall Islands, the headquarter of uBinary is located in Zurich, Switzerland. Meanwhile, uBinary claims to have nine other global offices spread throughout Asia, Europe and the Middle East.
Details of the uBinary ASIC warning
Today, ASIC reveals that uBinary was making unsolicited phone calls as well as sending emails to Australian traders. The Binary Options broker offered financial and investing advice to the public through their communication. An illicit act, as it is required to hold an ASIC Australian Credit license or an Australian Financial Services (AFS), in order to be able to provide such financial advice to investors in Australia.
See also: ISA and AMF reveal €105 million Forex scam
Moreover, ASIC has alleged the Binary Options firm of being involved in an investment scam. The exact details of the scam suspicions by ASIC were not disclosed. Nevertheless, the Australian financial regulator has advised all investors to avoid any dealings with uBinary.
AMF uBinary warning
Last year on September 2015, the Autorité des Marchés Financiers (AMF) already issued a warning upon uBinary. For similar reasons as the uBinary ASIC warning, the French financial regulator blacklisted the Binary Options broker. uBinary was caught targeting French investors without having the proper license. Having received the second warning by a local regulator, the overall business ethics of uBinary are being questioned.
Think we missed something? Let us know down in the comments section.