CySEC Quick to Suspend TBSF CedarFinance.com After One Month of Registration
The Binary Options Broker T.B.S.F BEST STRATEGY FINANCE LIMITED, the legal entity established in the Republic of Cyprus that owns
The Cyprus Securities and Exchange Commission (CySEC) has today posted a communication suspending TBSF Best Strategy Finance Limited, a Cypriot Investment Firm (CIF).
TBSF is the owner and operator of binary options website CedarFinance.com, and the suspension gives it 30 days to comply with rules that CySEC deemed the company may have fallen out of compliance with, according to an official press release from CySEC.
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The announcement comes just over a month after the firm received its CIF license, and the decision was taken by CySEC because the potential violations referenced appear to seriously endanger the interests of the Company’s customers and the proper functioning of capital markets, as described in the CySEC issued press release (unofficially translated from Greek – see excerpt below).
According to legal and administrative sources familiar with CySEC registration and compliance procedures, Forex Magnates confirmed that when CySEC issues a CIF license for an existing Binary Options broker who used to operate under the grace period (like CedarFinance), there is a condition set by CySEC whereby the broker must meet certain obligations arising from the law within a specific time frame.
Based on CySEC’s announcement, it seems this company did not meet those conditions within the specified time frame and hence the suspension of their license.
The regulatory watchdog of Cyprus is becoming faster in policing its members, with the latest announcement coming just weeks after the firm had received its CIF license as mentioned above. It’s not clear why the alleged violations occurred for such a newly licensed firm.
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Below is an excerpt from the announcement, unofficially translated from Greek (using Google translate):
The Commission announces that the authorization of the Cyprus Company Investment Services , TBSF Best Strategy Finance Limited, No. 213/13 , has been suspended under Article 26 ( 2 ) of the Investment Services and Activities and Regulated Markets Law, as suspected for any breach of the conditions for authorization and in particular Articles 10 (1) – Original Chapter 11 – Founding document , 12 – Persons effectively direct 13 – Shareholders , 28 – Continuing Obligations , 33 – Shareholders .
The above decision was taken because the above potential violations appear to seriously endanger the interests of the Company’s customers and the proper functioning of the capital markets .
The Company shall, within one month , to take steps to comply with the above provisions.
Provided that for the duration of the suspension of the license , the Company may, under Article 26 (5 ) of that Act , to provide and / or presenting it provides – directly or through its website www.cedarfinance.com – any investment and ancillary services .
A company spokesperson declined to comment to Forex Magnates, after we had reached out to some of CedarFinance.com staff members who seemed surprised by the news.
Forex Magnates will follow this situation closely for further developments.
Well at least they lasted longer than iOption.
Hi Andy, Thanks for the points and questions. I am not sure other than to assume that the retail funds they do hold according to their reported CFTC metrics couldn’t be held in any other entity/regulatory registration or manner, as it’s probably safe to say they would have already done so if they could – especially with so many subsidiary/registrations under their group structure (albeit one-less now!). On the NFA website under BASIC, NFA lists all of the KCA-entity’s DBA’s,etc… that is the most I can speculate on as to your question. Regarding HFT volumes – indeed it appears revenues… Read more »
Hi Andy, Thanks for the points and questions. I am not sure other than to assume that the retail funds they do hold according to their reported CFTC metrics couldn’t be held in any other entity/regulatory registration or manner, as it’s probably safe to say they would have already done so if they could – especially with so many subsidiary/registrations under their group structure (albeit one-less now!). On the NFA website under BASIC, NFA lists all of the KCA-entity’s DBA’s,etc… that is the most I can speculate on as to your question. Regarding HFT volumes – indeed it appears revenues… Read more »
knowing the guys behind this company, curious how they even got the license in the first place.
I am no expert in Cysec regulation but I can read Greek so here goes to the best of my “regulatory” translation capabilities: It basically says they got suspended because of the suspected violations of the provisions under which they were granted their Cysec license. Namely provisions [10](1) About initial capital adequacy, [11] incorporation documents, [12] Names of the people who are actually running the company, [13] shareholders, [28] ongoing obligations (i think this means financial obligations related to operating capital and[33] shareholders (again). Pretty much Cysec must have realized that the people who got granted the license where just… Read more »
What MC is saying make a lot of sense.
BTW, these are the same guys that bought Tradologic.
Wow seems like everyone is getting shut down these days.
Does anyone have any recommendations as to who to use for a US broker? (i’m a US citizen)
Is Nadex the only one? I see a company called HowWeTrade with a NYC address as well, are they legit?
Thanks
I truly think we should all be verry careful assuming that a regulated firms better then a unregulated, i have seen one unregulated broker having the issues we see with regulated ones one the past year s. I don’t understand why people still believe the regulators their for the trades best interested when the past years has proven the contrary.
is there no thing as honesty left.. regulated or unregulated the common man suffers.. stealing is an awful act and good old traditional values and ethics are more then necessary
I have used this company and thought I did the proper homework in advance. Unfortunately, my so-called account manager blatantly lied to me and so far nobody else in the company has proved any better. STAY AWAY from them at all costs!
Hello, I opened an account with them three months ago using $1000 US dollars. I lost 400 leaving 600 in my account. Shortly after I tried to withdraw my money out, but due to their web site going down, I have not been able to do so. It sure seems like, with as many traders as there are who have used cedar, that the government in Cyprus would go after them. They obviously have scammed a great many people out of their hard earned money. If the government there is so lax with these companies that do this, I strongly… Read more »
Where does one go to file a claim for money in an account with Regal Options?
I have a significant deposit account with the binary options brokerage Cedar Finance. Does anyone know how I can get my money back? Apparently, Cedar Finance can no longer be contacted!
I have been in touch with CySEC – the regulatory authority in Cyprus – but they have not been very informative or helpful to-date.
Can Cedar Finance get away under Cyprus Regulation with stealing clients funds?