Exclusive: IronFX Responds to CySEC Audit Revelations
The troubled broker says the report "...includes selective data and fails to present the full facts of the investigation..."
We promised our readers yesterday that we would bring you IronFX’s response to the serious revelations in our exclusive report yesterday about a harsh CySEC audit and why the watchdog hasn’t suspended the firm. Today the broker answered our call and tried to explain its view of the matter.
To unlock the Asian market, register now to the iFX EXPO in Hong Kong.
Join the iFX EXPO Asia and discover your gateway to the Asian Markets
Regarding to the most important issue, the “$176m Client Money Hole”, IronFX says in essence that the report’s $176 million figure includes bonuses and not just deposits. Beyond this the company thinks that the audit report fails to represent the full picture of the situation, and it says it is taking steps to rectify the matter – presumably meaning in court or with the regulator itself.
IronFX issued the following statement to Finance Magnates:
Suggested articles
Going Past the Great Wall: Things to Consider When Entering the Asian MarketGo to article >>
“The Company was investigated by the Cyprus Securities and Exchange Commission (CySEC) in 2015 following a number of customer complaints. The findings of the investigation that led to a €335,000 settlement were made publicly available on the Commissions website on November 27, 2015.
With regards to the erroneous reference of the $176m amount mentioned in the Auditor General’s report the Company would like to emphasize that it did not relate to client money but to client equity that included non-withdrawable bonuses and is therefore misinterpreted in the Auditor General’s report. The said report includes selective data and fails to present the full facts of the investigation and the final findings of the Commission as they were presented in the settlement that was reached in November 2015. The Company is taking all necessary steps to rectify this misrepresentation.
The Company would also like to reiterate that all actions taken with regards to the treatment of the abusive traders are well documented and are in line with the various legal opinions it obtained and are further supported by its Terms & Conditions which are binding on both the Company and its clients.
Finally, the Company would like to draw your attention to the official statement of the CySEC Chairman published December 27, 2016. The Chairman explains among others, the Auditor General’s failure to present the CySEC’s position on all matters raised by his office and fully present the facts and results of the Commission’s investigation by including selective information in its report, thereby misrepresenting the facts.”
176 mln / 1000 complains = $176000 average client deposit
I figured out something was certainly wrong.
Dear Peter,
You are kindly requested to provide us with your particulars (i.e.name and account number) in order to allow us to attend to any queries you may have. You can also write to us at support@ironfx.com for any clarifications you may require.
Thank you
they cannot hold client own money at any cost even if they label anyone abusive etc. They are not giving back even the client’s funded money which is the client birth right. Scamster broker justifying their theft
Dear Balaji iyengar,
You are kindly requested to provide us with your particulars (i.e.name and account number) in order to allow us to attend to any queries you may have. You can also write to us at support@ironfx.com for any clarifications you may require.
Thank you
Of course nothing but excuses from the most corrupt company in the FX Industry.
Dear Stephen Collins, As a financial institution, IronFX abides by the applicable international and European regulatory standards. The IronFX Group of Companies comprises of investment firms authorized and regulated by the competent financial authorities in the UK, Australia, South Africa and Cyprus. We note that none of the said group companies has either received a fine or penalty by any competent authority or has any court ruled against any of the group companies. We would be delighted to attend to any query you may have once we are able to identify you as a client of the Company. In this… Read more »
Mr.Kashiouris, you should be in jail! Enough with the ego, close this kebab shop once and for all.
CySEC, time to suspend IronFX and allow clients to access compensation scheme.
The problem is that IronFx is not clarifying how much is bonus money and how much is client funds. But of course, let that be ‘lost in the confusion’….after all, just stupid retail traders anyway. Besides, it would only confirm how ridiculous their bonus program was. They also are not clarifying the relationship between IronFx and Cypriot President Anastasiades. It would explain how the corruption went on for so long without barely a slap on the wrist. Wouldn’t be surprised if some Chinese or other traders burned by IronFx didn’t take a trip to Cyprus themselves and storm the office,… Read more »
Dear Jon Grah, As a financial institution, IronFX abides by the applicable international and European regulatory standards. The IronFX Group of Companies comprises of investment firms authorized and regulated by the competent financial authorities in the UK, Australia, South Africa and Cyprus. We note that none of the said group companies has either received a fine or penalty by any competent authority or has any court ruled against any of the group companies. We would be delighted to attend to any query you may have once we are able to identify you as a client of the Company. In this… Read more »
guys it is very simple.. we all know there was abusive trading, but in this trading you can lose money with Ironfx and win somewhere else, or you can make money with ironfx and lose somwhere else. What Ironfx was doing is this: When a client was making money, and he withdraws, they tell him you abused the bonus and they dont send him his money. When the client loses, they dont say anything. They call him to deposit again. Eveyrone knew this, even the employees. So if CySEC wants to be fair to Ironfx, yes, they can withold winnings… Read more »
Dear Samuel Johnsonq,
You are kindly requested to provide us with your particulars (i.e.name and account number) in order to allow us to attend to any queries you may have. You can also write to us at support@ironfx.com for any clarifications you may require.
Thank you
How IronFX got away with marking clients with no bonus as bonus abusers is a complete joke. Also how CYSEC has not even answered my email regarding this shows what a joke they are. I have 5000 euros stuck under ironfx Cysec as i was marked as an abuser with no bonus. I then commenced and opened an account under ironfx FCA deposited 1000 euros traded the exact same way without a bonus and got my money back along with the profit. This shows they are scared to break the law under the FCA as they know their license will… Read more »
Dear Robert, As a financial institution, IronFX abides by the applicable international and European regulatory standards. The IronFX Group of Companies comprises of investment firms authorized and regulated by the competent financial authorities in the UK, Australia, South Africa and Cyprus. We note that none of the said group companies has either received a fine or penalty by any competent authority or has any court ruled against any of the group companies. We would be delighted to attend to any query you may have once we are able to identify you as a client of the Company. In this respect,… Read more »