CySEC Settles with Tradernet for €80,000 Fine

The Cyprus Securities and Exchange Commission (CySEC) has announced on Friday that it reached a settlement with Tradernet Limited for €80,000 for some unspecified violations.

“A settlement has been reached with the CIF Tradernet Ltd (“the Company”) for possible violations of The Investment Services and Activities and Regulated Markets Law of 2017,” the Cypriot regulator detailed.

As seen on its website, Tradernet has operations in Russia, Ukraine, and Kazakhstan, offering trading services with stocks, bonds, and exchange-traded funds (ETFs).

The fine was imposed following an onsite inspection of the company by the regulator last March.

According to the regulatory notice, the CySEC CySEC The Cyprus Securities and Exchange Commission (CySEC) is a financial regulatory authority of Cyprus. CySEC is one of the key watchdog authorities for brokerages in Europe, whose financial regulations and operations comply with the European MiFID financial harmonization law.Founded in 2001, CySEC is instrumental in providing licensing and registration for forex brokers and previously binary options providers.CySEC is responsible for a variety of different functions, which includes the supervision The Cyprus Securities and Exchange Commission (CySEC) is a financial regulatory authority of Cyprus. CySEC is one of the key watchdog authorities for brokerages in Europe, whose financial regulations and operations comply with the European MiFID financial harmonization law.Founded in 2001, CySEC is instrumental in providing licensing and registration for forex brokers and previously binary options providers.CySEC is responsible for a variety of different functions, which includes the supervision Read this Term found non-compliance in the broker’s part in multiple areas, including some management body requirements, and some “organizational requirements with which a CIF is required to comply.”

The company also provided some inaccurate information to the regulator; however, nothing else was specified.

“CySEC, under article 37(4) of the Cyprus Securities and Exchange Commission Law of 2009, has the power to reach a settlement for any violation or possible violation, act or omission for which there is reasonable ground to believe that it took place in violation of the provisions of CySEC’s supervised legislation,” the Cypriot regulator added.

Notably, Tradernet has already paid the imposed fine.

A regulator with a keen eye on any violations

The CySEC is vigilant for any violation of laws by the regulated entities under it. The regulator is also working with overseas regulators, including the UK’s Financial Conduct Authority, in flagging brokers who are taking advantage of Europe’s passport rule.

Recently, the regulator also ordered all entities under its purview to implement the Financial Action Task Force-recommended provisions for COVID-19-related Anti-Money Laundering (AML) Anti-Money Laundering (AML) Anti-money laundering (AML) is a term that describes laws, processes, and regulations that are intended to prevent illegally obtained funds from being disguised as income gained through legitimate means. The fundamental purpose of the AML laws is to help safeguard, detect, and report suspicious activity including the predicate offenses to money laundering and terrorist financing, such as securities fraud and market manipulation.Most exchanges have AML measures that include identity verification Anti-money laundering (AML) is a term that describes laws, processes, and regulations that are intended to prevent illegally obtained funds from being disguised as income gained through legitimate means. The fundamental purpose of the AML laws is to help safeguard, detect, and report suspicious activity including the predicate offenses to money laundering and terrorist financing, such as securities fraud and market manipulation.Most exchanges have AML measures that include identity verification Read this Term) and counter-terror financing (CFT) policies.