Third CashFX Group fraud warning issued in Norway
Norwegian authorities have issued a third CashFX Group fraud warning.
The Financial Supervisory Authority of Norway’s notice follows a warning from the Lotteries Authority earlier this year.
As per the Financial Supervisory Authority’s October 20th warning;
In Norway, CFX Team Norway, among others, markets the company’s operations.
The company is not licensed to offer investment services in Norway, and Finanstilsynet warns consumers against investing through Cash FX.
If you invest in this company, you could risk losing all your money.
Finanstilsynet, as the FSA is known in Norwegian, issued a similar CashFX Group securities fraud warning in November 2020.
This was followed by the Lotteries Authority issuing a CashFX Group illegal pyramid scheme warning in February.
We get many tips and inquiries with questions about whether Cash FX can be an illegal pyramid scheme.
Based on the information we have received so far, we see that it has several similarities with illegal pyramid schemes
Our best advice is to stay away from this company.
In addition to Norway, eighteen jurisdictions have issued CashFX Group fraud warnings. The latest of which BehindMLM reported on was Singapore just over a week ago.
Huascar Lopez operates CashFX Group from the Dominican Republic.
It is noted CashFX Group recently announced it had opened up a head office in Panama.
Traffic to CashFX Group’s is in decline. Alexa’s ranked top sources of traffic are Nigeria (20%), Australia (20%) and the US (13%).
The Australian Securities and Investments Commission issued a CashFX Group securities fraud warning on October 6th.
To date authorities in the US and Nigeria, as well as the Dominican Republic and Panama, have failed to take action against Lopez or his co-conspirators.
Update 20th November 2021 – The Norwegian Consumer Agency (Forbrukertilsynet), has issued a press-release stating they agree with the Financial Supervisory Authority’s and Lotteries Authority’s warnings.
Screw the warnings! When are they going to shut them down instead of issuing warnings?
There shouldn’t even be a 1st warning, let alone a 2nd or 3rd! No wonder these scams continue to operate!
All 18 countries/jurisdictions should team up and put them and others like them (Omega Pro comes to mind) out of business once and for good!
Hold the domain registrars and social media financially liable and you would see all this end immediately – the scammers cannot operate without the websites and social media.
The domain registrars all have anti crime clauses in their TOS however they state they will only honor take down orders from national authorities.
The social media sites can close accounts but judging by the tons of fraud on FB, LinkedIn, and Instagram – they are unwilling to deploy their AI to fight crime.
Tony Hetherington of the Financial Mail on Sunday has another article on CashFX. This time it’s TV chef Rusty Lee’s son James Lees.
thisismoney.co.uk/money/experts/article-10224287/Why-televisions-Rustie-Lee-backing-son-CashFX-currency-scam.html
I really feel for victims of MLM scams in the UK.
In the US you know if you file a complaint there’s a chance something might happen eventually. In other countries authorities will entertain your complaint, even though nothing is likely to happen.
In the UK they symbolically just tell you to piss off.
Reference: #4
The UK Justice System is not there to protect people from degen gambling.
If you have a complaint, you can go the civil route, in the very worst cases when it is overt fraud then it can be concluded criminally.
Otherwise most MLM’s are not considered ‘securities’ the same as tokens/crypto.
It shouldn’t be up to civilians to regulate securities fraud.
CashFX Group and every MLM crypto scheme are committing securities fraud.
Ref #6 I think you are missing the point, its not for the British public to finance investigations due to a tiny % of the population gambling with risky / scammy offerings.
This is why the FCA the Justice Department don’t waste funds on such.
Because those funds are better used elsewhere, as for ‘securities’ – they are not deemed securities in the UK, or most countries in the world.
Tomas, I can agree nobody can save and protect other people from their very own stupidity.
I can agree that an investigation of MLM scams is not efficient – quite often tracking them leads to kingdom of white horses, exotic (and not cooperating) jurisdictions, the mess of money laundering transactions.
But still – scam is a scam. (At least) the feeling of a kind of “law, order and justice” is important and one the pillars of communities..
It is not good idea to remove the weight of the lid covering the dirt, greed, criminals and scammers. Doing so (ignorance)… is a kind of invitation for all of these scammers: “Hey, we don’t care if you scam the stupid and vulnerable ones! We believe we do not belong among them! And we don’t care of others!”
The path to chaos, dangerously living and very unfriendly society.
I think it’s important not to dismiss securities fraud as mere gambling.
Securities fraud is illegal in every jurisdiction with a financial regulator, i.e. most of the planet. Active regulation and enforcement is another matter.
MLM + passive investment is very much illegal in the UK. Unfortunately all the FCA does is issue warnings. When pressed to actually regulate they do nothing.
Hi Oz (as well as others on here)
I have been truly embarrassed to come forward and speak as I have been caught in this ugly Ponzi scheme but I feel obligated to do so.
I knew it was too good to be true but my greed got to me when I signed up over a year ago. I am so ashamed as I signed up my friends and family.
I thought I was on a role upgrading to several higher levels within 3 months to the point I had a large passive income and had already received my investment back. Then the payments started to lag, and lag more and more which is not a good sign…
I now know those profits are coming from other peoples’ money. I have not cancelled my subscription just yet but have told all my friends and family not to upgrade anymore.
When each of us is made whole on our investment, we are using our profits to redistribute to each other to make sure we all get our investment back. Once we are whole I will be bailing on this stupid scheme.
What is insane is they still take that 20%….
Thanks for the eye opener!
Peter
The hardest step is coming to terms with what you’ve gotten into. Glad to see you’re being proactive.
Peter, herein lies the problem – you want to make sure all your friends get their money back. The only way to do that is to enroll (ie, “steal from”) more people and hope they don’t notice until you’re long gone.
I admire that you’ve seen the light, but the only way to exit with integrity is to a) return the money from the people you got it from, or b) take the loss and chalk it up to experience.
I took it as Peter was distributing whatever trickles in as returns and stopping once people are whole. As opposed to recruiting new CashFX Group victims.
Thats exactly it. I want my friends and family to be whole since I got them into this mess.
I already got my investment back a long time ago and gave all my profits away to them. Everyone is almost whole fortunately.
Cash FX is a scam they need to be captured and locked away and not fed. Scumbags.