The EuroFX is a company who appears to have scammed close to 4, people around the world offering fat returns. However, the venture was not regulated by any authority of the United Kingdom. In fact, the business represents a scam which grew and flourished in the gap between the national regulatory systems. Chinese investors first heard about EuroFX in summer of David Byrne, year old British businessman had introduced himself to potential customers as the new London head of a Forex trading platform whose website marketed very high returns.
The operation EuroFX has promised large profits on foreign exchange. Advertising brochures stated that the company has years of experience in foreign exchange trading. EuroFX Scam surfaced in the middle of In July , EuroFX announced to the investors that it is suspending its foreign exchange trading activities.
Customers started to write complaints against people who recommended the company. There are currently 23 people who police are intending to arrest.
Many of those people who fundraised for EuroFX have fled the country. Current law enforcement authorities say it was a pyramid scheme as it used the cash from new investors to pay the older ones. So far the police received at least complaints about EuroFX. A group in Shanghai collected the information about at least 3, victims all over the China and 9 countries starting with the U.
All of the victims say that they were also scammed by the EuroFX. The story demonstrates quite clearly that fraudulent firms can hide now in the gaps between the local regulations. EuroFX advertised itself using the address in London, however, the British authorities considered it beyond their jurisdiction as the firm dealt with the foreign investors. The Chinese investors who put money into EuroFX stated that they did so as the company was registered in the United Kingdom. It would be regulated by the FCA only if it would sell to customers in Britain.
However, they decided it was outside of their jurisdiction. A spokeswoman for London Metropolitan Police said:. Log in Lost Password? All you need in Forex. A spokeswoman for London Metropolitan Police said: Let us know in the comment section below! New clone firm uncovered. Popular posts Fundamental Analysis and Economic Updates. Top 10 cryptocurrency Top countries where Bitcoin is legal. Subscribe to AtoZ Forex exclusive updates!More...