Two financials regulators – CySec (Cyprus) and SEC (USA) issued investor alert to warn traders of scammers mimicking regulators’ officers and representatives to consult investors for fees in exchange for the settlement of disputes either acquire personal and financial information of traders to misappropriate their financial funds.
Both agencies indicated that “it never sends unsolicited correspondence to investors or members of the public, nor does it ever request any personal data, financial or otherwise”. Moreover, regulators have no authority or jurisdiction to collect fees for any purpose from individual investors without a valid order.
In order to avoid scam attempts from unverified personnel, traders must carefully check the email addresses, the nature of a query and contact the relevant regulator for further assistance.
The Financial Commission has also previously dealt with such clones and phishing website issues and has shared a comprehensive guide on how to avoid scams. Stay safe!