CySEC fines Target Wealth €30,000

Rick Steves

Target Wealth has paid the amount of €30.000 to settle with the CySEC. 

The Cyprus Securities and Exchange Commission (CySEC) has announced a €30,000 settlement with Target Wealth Opportunities Ltd after “possible violations” of the Alternative Investment Fund Managers Law.

Without really specifying how Target Wealth wronged the law, the regulator stated: “More specifically, the investigation for which the settlement was reached, involved assessing the Company’s compliance in March 2022, with: 1. article 10(1) of the Law regarding changes in the scope of authorization, 2. article 8(2)(d) of the Law as to the conditions for granting authorization concerning the suitability of the shareholders that have qualifying holding.”

Target Wealth has paid the amount of €30.000 to settle with the CySEC.

CySEC warned of scammers impersonating regulator

CySEC has recently spotted a scam where fraudsters claiming to be CySEC’s officers or appointed representatives are soliciting investors for fees in exchange for settlement of fake compensation claims.

The contact often takes place via e-mail, says CySEC, and gives the illusion of an authentic message that contains a promise to help traders get compensation for the potential damage they may have suffered as a result of fraud by regulated forex / CFD brokers.

On top of that, the commission said that a few clone websites are impersonating the organization in many areas and context.

The fake websites are:

a) cysec-regulatory.com
b) www.cysecsupport.online
c) cysec-support.online
d) cysecgov.com
e) www.cysecs.group

Per a regulatory circular, sophisticated campaigns targeting investors of online trading firms are used as part of the scam which typically involves:

  • Fraudsters claim to be CySEC officers, appointed representatives of CySEC, such as legal advisors, other Cypriot supervisory authorities or other real or fake bodies.
  • The scammers contact clients of CySEC regulated entities, often via emails and sometimes by telephone, which appear genuine and include the name, address, official stamp and logo of CySEC, fraudulently copying CySEC officials’ signatures.
  • The fraudsters make false offers to assist investors with compensation claims for dealings they may have had with sanctioned firms – typically online trading firms offering speculative investment products.
  • Through these preliminary contacts, the fraudsters illegally obtain additional personal information
  • Under current laws, CySEC has no powers to force internet companies to refuse financial advertisements or block access to their domains.
  • It can only ask them to take down fraudulent promotions once they have been spotted. As a result, fraudsters and promoters of high-risk schemes have been able to place advertisements claiming to be based or licensed in Cyprus.

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