CashFX Group securities fraud warning issued in Bahamas
The Securities Commission of the Bahamas has issued a securities fraud warning against CashFX Group.
As per the Securities Commission of the Bahamas, CashFX Group is operating in violation of ‘the Securities Industry Act, 2011, the Investment Funds Act, 2019 and the Financial and Corporate Service Providers Act, 2000’.
The Commission hereby advises the public that neither Cash Forex Group, nor its agents and/or its consultants, are registrants of the Commission and they have not made application for registration with the Commission.
Therefore, any conduct of registrable activity by this organization, its agents or consultants in or from this jurisdiction is a violation of one or more of the Acts.
If this organization, its agents or consultants in any way hold themselves out as fully compliant and bona fide operating securities, or financial services business in or from this jurisdiction, they are committing an offence and are liable for criminal prosecution and/or regulatory sanctions under the relevant laws of The Bahamas.
This is the equivalent of a securities fraud warning in other jurisdictions.
BehindMLM reviewed CashFX Group in July 2019. Based on its business model, we concluded CashFX Group is a Ponzi scheme.
Alexa currently ranks the UK (25%), Nigeria (15%) and US (15%), as the top three sources of traffic to CashFX Group’s website.
Such to the extent CashFX Group is being promoted in the Bahamas is unclear. The Securities Commission however claims CashFX Group
continues to inform of entering into contracts with Bahamian citizens to trade on their behalf, without having a license from the Commission to do the same.
The Commission urges the public to exercise extraordinary precautionary measures before engaging in any business activities with (CashFX Group).
To date CashFX Group has received regulatory warnings in the UK, Norway and Canada.
Despite the UK being the top source of traffic to CashFX Group’s website, and therefore presumably the Ponzi scheme’s primary source of new investment, UK authorities have as of yet taken no further action against the company.
CashFX Group is promoted across the US by Justin Halladay and Luigi Bruni. Halladay resides in the US, Bruni in Canada.
Whether US authorities launch a CashFX Group investigation remains to be seen.