In a regulatory decision, the
Cyprus Securities and Exchange Commission (CySEC) has announced the withdrawal
of Cyprus Investment Firm (CIF) authorization from Leverate Financial Services
Ltd. The decision, made during CySEC’s meeting on December 4, 2023, follows the
company’s explicit renunciation of its authorization.
CySEC Response to Renounced
Authorization
The recent decision by the
company to voluntarily renounce its authorization has prompted CySEC to take
action in accordance with relevant provisions of the Investment Services and
Activities and Regulated Markets Law.
The withdrawal of CIF
authorization effectively bars Leverate Financial Services Ltd from continuing
its operations within the regulatory framework overseen by CySEC. The announcement does not cite
any judicial review associated with the decision, indicating that the
withdrawal of authorization stands as final, pending any future legal
developments.
Source: CySEC
CySEC Revokes CIF for Four Firms
and ICF Withdraws Membership
Earlier, The CySEC
announced the withdrawal of CIF authorizations for four Cyprus-based
investment firms: Stone Edge Capital Ltd, Holiway Investments Ltd, FXBFI Broker
Financial Invest Ltd, and KAB Strategy Ltd, as reported by Finance Magnates. Additionally, the
Investors Compensation Fund (ICF) has revoked the membership of these firms.
The ICF’s decision to revoke
membership follows CySEC’s withdrawal of CIF authorizations for the
aforementioned firms. Despite this, covered clients of these firms are still
eligible to file compensation claims for investment operations conducted before
the membership withdrawal, provided they meet CySEC’s eligibility criteria.
ΑΠΟΦΑΣΗ ΕΚΚ για την ανάκληση της άδειας λειτουργίας ΚΕΠΕΥ της εταιρείας Leverate Financial Services Ltd
CySEC Decision for the withdrawal of the CIF licence of Leverate Financial Services Ltdhttps://t.co/AJ8JnU3E8g
— CySEC (@CySEC_official) February 8, 2024
CySEC’s investigations revealed
violations of CIF authorization terms by Stone Edge Capital and Holiway
Investments. Stone Edge Capital was found non-compliant with organizational
standards and lacked sufficient anti-money laundering (AML) systems. Holiway
Investments also faced compliance issues.
In the case of FXBFI Broker
Financial Invest, inadequate AML/CTF policies led to a €50,000 penalty. KAB
Strategy voluntarily renounced its license. CySEC’s actions underline the
importance of regulatory compliance and investor protection within Cyprus’ financial
landscape.
In a regulatory decision, the
Cyprus Securities and Exchange Commission (CySEC) has announced the withdrawal
of Cyprus Investment Firm (CIF) authorization from Leverate Financial Services
Ltd. The decision, made during CySEC’s meeting on December 4, 2023, follows the
company’s explicit renunciation of its authorization.
CySEC Response to Renounced
Authorization
The recent decision by the
company to voluntarily renounce its authorization has prompted CySEC to take
action in accordance with relevant provisions of the Investment Services and
Activities and Regulated Markets Law.
The withdrawal of CIF
authorization effectively bars Leverate Financial Services Ltd from continuing
its operations within the regulatory framework overseen by CySEC. The announcement does not cite
any judicial review associated with the decision, indicating that the
withdrawal of authorization stands as final, pending any future legal
developments.
Source: CySEC
CySEC Revokes CIF for Four Firms
and ICF Withdraws Membership
Earlier, The CySEC
announced the withdrawal of CIF authorizations for four Cyprus-based
investment firms: Stone Edge Capital Ltd, Holiway Investments Ltd, FXBFI Broker
Financial Invest Ltd, and KAB Strategy Ltd, as reported by Finance Magnates. Additionally, the
Investors Compensation Fund (ICF) has revoked the membership of these firms.
The ICF’s decision to revoke
membership follows CySEC’s withdrawal of CIF authorizations for the
aforementioned firms. Despite this, covered clients of these firms are still
eligible to file compensation claims for investment operations conducted before
the membership withdrawal, provided they meet CySEC’s eligibility criteria.
ΑΠΟΦΑΣΗ ΕΚΚ για την ανάκληση της άδειας λειτουργίας ΚΕΠΕΥ της εταιρείας Leverate Financial Services Ltd
CySEC Decision for the withdrawal of the CIF licence of Leverate Financial Services Ltdhttps://t.co/AJ8JnU3E8g
— CySEC (@CySEC_official) February 8, 2024
CySEC’s investigations revealed
violations of CIF authorization terms by Stone Edge Capital and Holiway
Investments. Stone Edge Capital was found non-compliant with organizational
standards and lacked sufficient anti-money laundering (AML) systems. Holiway
Investments also faced compliance issues.
In the case of FXBFI Broker
Financial Invest, inadequate AML/CTF policies led to a €50,000 penalty. KAB
Strategy voluntarily renounced its license. CySEC’s actions underline the
importance of regulatory compliance and investor protection within Cyprus’ financial
landscape.
