Last year, Hellenic Bank decided to shut down the operations of its retail Forex brokerage services. Months later, CySEC reveals that Hellenic Bank Retail Forex Broker Branch CySEC license is renounced. What will happen to the outstanding funds of the HBI traders?
22 March, AtoZForex – The Cyprus financial market regulator CySEC announces that Hellenic Bank (Investments) Limited has given up its Cyprus Investment Firm (CIF) authorization. Pursuant to section 24(1)(b) of the Investment Services and Activities and Regulated Markets Law of 2007. The bank has renounced its CIF license as of the 15th March 2017.
Hellenic Bank Retail Forex Broker Branch CySEC license lapses
The branch Hellenic Bank (Investments) Limited is a subsidiary of Hellenic Bank Public Company Ltd. The bank made a decision last year to close down its retail Forex branch effective 31st January 2017. Following this, the bank says goodbye to Hellenic Bank Retail Forex Broker Branch CySEC license. Furthermore, commenting on the decision, the bank said in a statement on the Cyprus Stock Exchange website:
“The decision does not have any significant financial or operational impact on the group. HBI’s resource will be redeployed within the group to cover identified needs. This decision does not affect the provision of services by the group to private banking clients and institutional clients”.
As per the Cypriot regulator statement, the authorization (number 004/03) of the company that provides investment services through www.hbi.hellenicbank.com lapses as of 15th March 2017. As of this date, the bank is not regulated anymore to provide investment or financial services. The financial regulator further stresses that until Hellenic Bank (Investments) Limited settles its obligations, the bank will remain under its supervision. Also, it includes the obligations arising from the investment services and/or activities that will lapse.
What about the outstanding funds of HBI traders?
According to CySEC's regulatory framework, the investment branch of the bank will have to return all outstanding funds of its investors. Also, the banks has to take care of all their complaints. Moreover, the bank will have to confirm that it does not hold any pending obligations. In addition, the bank will also have to include details of each of the Bank’s clients.
Following the news, I have reached out to Hellenic Bank. However, I was not able to communicate with any of the marketing or press representatives. The bank operator told me they are not the right person to comment on any of the matters. Below you can read the official CySEC announcement about Hellenic Bank (Investments) Ltd. CIF license renouncement.
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