Cypriot regulator withdraws license of EuropeFX operator Maxiflex
The Cyprus Securities and Exchange Commission (CySEC) has withdrawn the Cyprus Investment Firm (CIF) license of Maxiflex Ltd, owner of brands such as EuropeFX.
The announcement about the license withdrawal was published today although the relevant decision was made at a CySEC meeting held on December 5, 2022.
The regulator decided to withdraw the CIF authorisation of Maxiflex Ltd pursuant to article 9(3)(b) of the Directive DI87-05 for The Withdrawal and Suspension of Authorisation (‘the DI87-05’) and articles 8(1)(c) and 71(6)(c) of the Investment Services and Activities and Regulated Markets Law of 2017, as in force (‘the Law’).
CySEC reached to the above decision, due to the company’s non-compliance with article 22(1) of the Law, as the company is in violation of article 22(1) of the Law, regarding the continued observance of the licensing conditions set out in articles 11(1)(b) and 17(9) of the Law, regarding the suitability of the shareholder and the safeguard of the rights of clients and the prevention of the use of clients’ funds for its own account, respectively, and consequently does not comply anymore with the conditions for granting its authorisation.
The regulator notes that, as from 15th October 2021, Maxiflex’s auhorisation was in suspension.
Due to the withdrawal of its authorisation, the company must, among others:
- Immediately and without any delay, ensure that all references on its websites, and elsewhere, to the provision/performance of investment services/activities, as well as to its licensing and supervision by the CySEC are deleted;
- investigate and resolve all customer complaints brought before it;
- ensure that it does not provide investment and ancillary services.