CySEC Extends Suspension of CIF License of Depaho

The Cyprus Securities and Exchange Commission(CySEC) announced on Wednesday that it has extended the suspension of the authorisation of the Cyprus Investment Firm Depaho Ltd, the operator of retail FX broker FXGM, number 161/11.

The company is allowed a two-month period to proceed with the necessary actions in order to comply with the relevant provisions of The Investment Services and Activities and Regulated Markets Law of 2017 and of Regulation (EU) no. 600/2014.

According to the official press release, for as long as the suspension of the authorisation is in force, as provided for in section 9 of DI87-05,:

The Company is not permitted to:

• Provide/carry out investment services/activities.

• Enter into any business transaction with any person and accept any new client.

• Advertise itself as a provider of investment services.

The Company, provided this is consistent with the wishes of its existing clients, may proceed with the below actions, without such actions being considered as breach of section 7(a) of DI87-05:

• Complete all its own transactions and those of its clients which are before it, in accordance with client instructions.

• Return all funds and financial instruments which are attributable to its clients.

Let's recall that the Cypriot regulator announced the decision of suspending Depaho's authorization in whole earlier this month. Soon the financial supervisory authority in Sweden, Finansinspektionen (FI), has deregistered Depaho. As a result of the judgment, the firm will no longer be able to provide investment services or engage in investing operations.