CashFX Group securities fraud warning issued in Canada
The British Columbia Securities Commission has issued a securities fraud warning against CashFX Group.
As per the BCSC’s November 10th warning;
CFX claims to be based in Panama, and it claims to offer forex trading services through its online portal.
We are aware that CFX accepts British Columbia (BC) residents as clients.
CFX is not registered to trade in, or advise on, securities or derivatives in BC.
We urge BC residents to exercise caution when dealing with firms that are not registered to trade or advise in BC.
A securities fraud warning from Canada is significant owing to Luigi Bruni, one of CashFX Group’s top promoters, residing in Montreal, Quebec.
On December 6th Bruni (below left), boasted of CashFX Group owner Huascar Lopez rewarding him with a Rolex watch.
Whether authorities in Quebec follow the British Columbia Securities Commission’s lead remains to be seen.
To date CashFX Group has received regulatory warnings in the UK, Norway, Panama and the Bahamas.
Luigi moving to Panama. I think he knows he will get caught if he stays in Quebec.
Here is the link to the actual article:
bcsc.bc.ca/enforcement/early-intervention/investment-caution-list/2020/cash-forex-group
It doesn’t mention any kind of fraud, it is simply an investment caution list. Wondering why you folks would ad Fraud to your heading?
Please advise!
Thanks
Thanks for catching that, appears I forgot to add the link to the article.
Because…
= securities fraud.
Here is a little more information regarding Securities and derivatives:
To sum up, Forex trading is neither a security or a derivative.
There would be no logic in CFX registering to trade in either securities or derivatives as they are involved in neither.
Whether it is or isn’t is neither here nor there.
I dump money into CashFX Group and they pay me a passive return. That’s a securities offering.
Strawman harder.
An offering is the issue or sale of a security by a company. … An offering is also known as a securities offering, investment round, or funding round.
A securities offering, whether an IPO or otherwise, represents a singular investment or funding round.
So again, wherein lies the fraud, other than your opinion?
Yes. MLM + passive investment = securities offering.
If you want to discuss IPOs and other derail waffle do it somewhere else.
Cash FX Group isn’t registered to offer securities in any jurisdiction.
Offering securities without being registered = securities fraud. 100% fact, no opinion required.
Thanks for responding on the above.
So if an MLM is stating that they are offering a passive investment opportunity, then a regulatory body (Such as the SEC) would deem it as a securities offering?
The Securities Act of 1933 (USA) does reference some of this, are you aware of anything more current? Is this country specific?
I also generate what I would deem to be passive income in another MLM I have been with for 25 years in the wellness industry. Would that be a securities offering as well or as it is not Forex it would be fine?
What an MLM company states or doesn’t state doesn’t matter.
MLM + passive investment opportunity = securities offering.
Securities are regulated in the same manner the world over. The US’ SEC just happens to be the most active regulator of securities.
You’re either registered with financial operators or committing securities fraud. CashFX Group chooses to commit securities fraud because it’s a Ponzi scheme.
MLM + passive investment opportunity = passive returns income.
Not all MLM + passive income = MLM + passive investment opportunity.
Is CashFX a 100% verified Ponzi scheme or is it just assumed?
It depends on your “definition” of scam.
Some stupid people follow the route “Company XY is paying – it cannot be a scam!” …and after the inevitable withdrawals delays and the final collapse… “What a surprise! They were so precise when they paid!”
Clever people (like Oz) can memorize all hallmarks of the scam and fraudulent business by definition. CFX surely belongs into this category.
Read the review again and choose your side of The Force. 😉
USI Tech, Tradera, and possibly MTI (as of two days ago) are all unfortunately confirmed scams.
The challenge is that companies that have unscrupulous founders will almost always go down. It is pretty sad, however, I believe that some company founders probably had good intentions but were not well funded or versed in managing a proper MLM company.
There are a lot of MLM companies started by high-earning distributors that have failed. Running a company is a different skill set than being a distributor.
I think it is healthy to have a debate and put valid warnings on things that don’t look right.
Labeling something as “Fraud” is more of an opinion, especially considering no SEC bodies have actually labeled CASHFX as a fraud. I would not take offense to behindmlm indicating from their professional opinion something was a ponzi scheme or a fraud.
All things being equal, unfortunately, there is lot of “bad” MLM companies in the financial world. I wish it wasn’t so. I have been with a product company for 25+ years and have done quite well. Definitely, a more logical way to go.
Merry Christmas and Happy New Year!
@Paul
I verify Ponzi schemes based on a company’s business model. And if it’s an investment scheme, whether it’s registered with financial regulators.
USI-Tech and MTI were confirmed scams from the day BehindMLM published a review of them (for me personally anyway).
If you wait till a Ponzi scheme collapses to “verify” it’s a scam, all you’re doing is assisting scammers scam people out of their money.
Nope. You can spot fraud by going over a company’s business model.
MLM + securities fraud = Ponzi scheme
All Ponzi schemes = scam
All scams = fraud
Opinions are what scammers come up with to justify fraud. My research begins and ends with facts identifying an MLM company as a fraudulent scheme.
As a British Citizen growing up in Vancouver, BC, I am glad to see that my province is doing something about this scam.
Another gov warning..
bes-reporter.com/index.php/2021/01/18/authorities-warn-against-activities-of-cashfx-group-on-bonaire/
Thanks for the heads up!
I had a look at the link and the story does link to the AMF, but they’re only referencing the FCA’s CashFX Group warning from 2020.
I couldn’t find a separate warning from the AMF itself.
It says to exercise caution when dealing with CFX. Don’t you think the government will just it’s a “scam” if it was a scam. I agree cfx is risky.
But If you want bigger rewards you have to take bigger risks. (Ozedit: derail removed)
BCSC identified securities fraud. If you want to followup with whether they think CashFX Group is a scam you’ll have to contact them.
There’s no risk when it comes to Ponzi schemes. Math guarantees the majority of participants lose money.
If you want to crap on about “the banks” do it elsewhere. What the banks are or aren’t isn’t justification for Ponzi schemes like CashFX Group.
Cashfx “traders and engineers” Hildo and Javier are losing their touch with their copy trading lol.
prnt.sc/107jo6l
Also, such an inspiring story of two marketing guys becoming forex genuises. One might have previously been a taxi driver too.
i.pinimg.com/564x/d7/b3/f4/d7b3f4687ed9ee4d581ef041f59d5412.jpg
facebook.com/inCruises/posts/dear-hildo-emerencianacongratulations-on-achieving-a-new-rank-marketing-director/1059038177632695/
Is there a definitive list of countries where CFX IS BANNED?
The latest list was published as part of the Ireland securities fraud warning – https://behindmlm.com/companies/cashfx-group/cashfx-group-securities-fraud-warning-issued-in-ireland/
Bear in mind securities fraud is illegal the world over, regardless of whether a regulator specifically issues a CashFX Group warning.
These ponzi scams are ponzi scams from day 1 and not from when a bunch of ambulance chasers gather in a court in South Africa…
CFX is committing fraud by running a ponzi scheme so YES it’s a FRAUD warning…
MLM can work. I have an aunt who sold Tupperware for over forty years. She’s not wealthy and she was never the principal bread winner but she did okay, made a lot of friends and never stole a thing.
She did work her ass off and I’m still not convinced that she could have been happier in a regular job. I still go out of my way to pay a premium for Tupperware.
Big difference between Aunt Sharon and the people who populate this site’s reviews of scams – Tupperware is a real thing that people like; there was no social media until fairly recently; you basically sold out of your own home and anyone you sold to knew where you lived.
And you knew you were buying a piece of plastic – not financial freedom, riches or a cure for a disease that isn’t curable.
That aged well…
If CFX is a fraud why is it still operating?
Because authorities in the Dominican Republic aren’t interested in MLM securities fraud.
New investment is running low, as evidenced by ongoing withdrawal delays. That’s tied to recruitment though.
Paul Dueck (in the comments) went on to become a CashFx President and recipient of $20,000 monthly hush money payments after the scam collapsed.