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Another CySEC impersonation fraud warning: How to curb impersonators?
Another CySEC impersonation fraud warning: How to curb impersonators?

The Cyprus financial regulator has issued a series of impersonation warnings since 2015. Now, after two years, CySEC is still being targeted by these types of frauds. Hence, another CySEC impersonation fraud warning got issued recently. How can the market avoid these impersonation frauds?

10 March, AtoZForex – Nowadays, the financial markets are looming with various kinds of scams that are being perpetrated by fraudsters. The Cypriot regulator has discovered that fraudulent individuals or entities are trying to impersonate CySEC officials. Taking this into account, the Cyprus watchdog issues CySEC impersonation fraud warning. Similar warnings were issued recently on several occasions with the last one reported by us was in November 2016.

CySEC impersonation fraud warning

According to the recent warning, the Cyprus watchdog warns the investors and the general public regarding individuals impersonating CySEC representatives. The financial regulator has learned that unknown entities or individuals present themselves as CySEC or other Cypriot Supervisory Authorities. They do so with the intention of conducting illegal transactions as per the regulator warning. Usually, the fraudsters use emails that have the name and logo of CySEC and other untruthful information to contact the investors. Furthermore, these fraud entities promise the investors to assist in receiving compensation for potential damage caused by other firms. For these services, they will charge the investors with a legal fee or other expenses.

The most recent cases that CySEC has discovered involve correspondence from the United States, Canada, and the Dominican Republic. In these cases, persons with fake names and contact information, and illegal use of the CySEC logo attempt to convince recipients to pay fees to participate in fake aid programs for recovery of losses. Therefore, the financial watchdog stresses that it is not connected to such entities or individuals in any way. Moreover, it never sends unsolicited correspondence to the investors requesting their personal and/or bank details. It also does not ask them to make any sort of financial transaction.

CySEC’s advice to curb impersonation frauds

In order to curb the fraudulent activities of the impersonators, CySEC advises the investors and traders to remain vigilant regarding such unsolicited communication. The regulator also urges the public to be extremely cautious if they receive anything that appears to be from CySEC asking for the transfer or payment of any amount. In order to confirm the legitimacy of the communication, investors should contact the regulator at before taking any action.

Furthermore, investors should bear in mind that CySEC does not authorize, monitor, verify, or is in any way involved in payments between natural or legal entities or any public or private agencies. Finally, for unsuspecting individuals who have already fallen prey or contacted for such requests, they are advised to contact CySEC at or report the case to the Police. Below you can read the actual CySEC impersonation fraud warning:

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