Home » Forex Litigation » AFX Capital Markets Ltd: refund request

AFX Capital Markets Ltd: refund request

Recently updated on 19 May 2023

14 Apr 2020 - Forex Litigation - Min Read 3 min
AFX Capital Markets Ltd: refund request

The Cypriot company AFX Capital Markets LTD saw its authorization to operate on the market suspended in July of 2019. The reimbursement system is in place for customers who have so far been unable to get their money back.

Click here to request a refund >

From 19 July 2019 onwards, the CySEC (Cyprus Securities Exchange Commission, or the Cypriot supervisory authority) has suspended authorization to operate on the market of the Cypriot investment company, AFX Capital Markets Ltd, their customers since dealing with the concern of having lost their investments.

Some had already feared that there was a risky situation approaching, for there had been rumoured difficulties of being able to communicate with the company.

Two weeks after the suspension of the CySEC license, a second European regulator, the British FCA, also announced that they had suspended the permission to operate on the market for AFX Capital Markets Ltd, with the order to “close and liquidate the open trading positions, both on their own and on behalf of customers”.

Following the suspension of the licenses by CySEC and FCA, the Italian Consob also included AFX Capital Markets Ltd in the “warning list” of companies that are not authorized to operate on the Italian market.

A long period of uncertainty followed, at the end of which CySEC itself announced the creation of the Investor Compensation Fund (ICF), that is, an “Investment compensation fund” aimed at freezing the company’s funds for later use to compensate creditors.

On August 27th, 2019, the High Court of Justice of England and Wales ordered, in response to CySec’s request, that AFX Markets Limited be subject to extraordinary administration, under the Investment Bank Special Administration Regulations. In this way, an attempt was made to protect the interests of clients, by appointing two special administrators who would take control of the business and take charge of managing customer funds with the goal of returning them.

The suspension of AFX Capital Markets Ltd

AFX GROUP and STO Super Trading Online are the names with which the well-known online trading broker who operated with regular Cypriot licenses issued by the CySEC and FCA. The group also had a branch in Italy, in Milan.

The investigations which led to the suspension of the license to the Cypriot company revealed shortcomings in a significant amount of client funds.

The exact amount of the deficit has not been specified, as an investigation is still ongoing, but due to the lack of funds AFX Capital Markets Ltd was no longer able to fulfill its obligations towards investors.

The announcement of the imminent repayment of the sums due to the broker’s customers has given hope back to those which have been waiting to repossess their money for months.

Investor Compensation Fund, how to file a claim

To claim what is due from AFX, the time remains to do so until September 30th, 2020.

There are two ways to be included in the list of persons entitled to repayment:

  1. a) submit a request to the CySEC;
  2. b) submit a letter, by post or in-person, to the ICF offices, attaching documentation that supports the claim.

Once the documentation has been received, the ICF reserves the right to request further evidence from the applicant.

It is important to pay attention to how the compensation request is lodged, as the time limit for submitting is September 30th,2020, and if the application does not meet the required criteria, it will be rejected.

The Boccadutri International Law Firm has followed practices of compensation in similar circumstances, providing legal assistance to clients from all over the world.

The recent partnership with the Cypriot law firm led by Stephanos Evangelides gives our firm the privilege of operating in Cyprus, by being able to follow the developments of our clients’ cases and monitoring the recovery process directly. Contact us here for any further information or advice.

Request a consultation now!

Complete the form to request a legal consultation. Our experts will evaluate your case and suggest the best solution.

Calogero Boccadutri

Calogero Boccadutri is the Managing Partner of Boccadutri International Law Firm. He has trial experience in Forex, Personal Injury and Administrative litigation.

2 responses to “AFX Capital Markets Ltd: refund request”

  1. Daniela Dell’acqua says:

    Ho subito una truffa da capitalbiz-Cipro per un totale di 83.000€ nel periodo dicembre 2022 e gennaio 2023. Ho fatto denuncia alla polizia di stato , ho richiesto il disconoscimento dei bonifici effettuati , ho la documentazione che mi sono stati richiesti soldi tramite documenti falsi intestati ad altre società . Purtroppo non ho soldi ( anzi ho debiti )per affidarmi ad un avvocato ! Devo fare tutto da sola !
    Nonostante ciò potete darmi qualche suggerimento su cosa fare ? Oppure qualche indirizzo di autorità cipriota cui chiedere aiuto?

    • Calogero Boccadutri says:

      Gentilissima Sig.ra Dell’acqua la ringraziamo per averci commentato, le invieremo maggiori informazioni sul caso tramite e-mail.

      Cordiali Saluti
      Avv. Calogero Boccadutri

Leave a Reply

Your email address will not be published. Required fields are marked *

This site uses Akismet to reduce spam. Learn how your comment data is processed.