The Cyprus Securities and Exchange Commission (CySEC) has announced today about its settlement with Rodeler Ltd for €280,000 for “the possible violation of the Investment Services and Activities and Regulated Markets Law of 2017.”
The settlement has been made since the CySEC-regulated broker renounced its Cyprus Investment Firm (CIF) authorization license late last month.
The recent announcement also detailed that the settlement was reached for the assessment of the broker between January 2018 to December 2019 for breach of compliance of multiple laws, regarding the requirement for CIF authorization, general principles and information to clients, and organizational requirements.
“CySEC, under article 37(4) of the Cyprus Securities and Exchange Commission Law of 2009, may reach a settlement agreement regarding any violation or possible violation, act or omission for which there is reasonable ground to believe that is in breach of the provisions of legislation under the regulatory remit of CySEC,” the Cypriot regulator noted.
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Though announced today, the decision for the settlement was finalized on July 6. This was the same day the regulator approved the renouncement of the CIF license from Rodeler.
A Broker in the Bad Books of Multiple Watchdogs
The broker operated a platform called 24option, but was flagged by the regulators in the United Kingdom and Italy.
The Cypriot regulator also suspended its license for a month under the request of the UK’s Financial Conduct Authority (FCA) for using fake celebrity endorsements to promote its products on social media.
Along with Rodeler, Hoch Capital also renounced its CIF license after facing exactly the same regulatory backlash, however, CySEC did not update anything about the settlement with them.
Recently, the Cypriot regulator also settled with another CIF holder, Tradernet, for €80,000. Though, the charges against that broker were not revealed.