The Companies and Exchange Commission (CONSOB), the Italian financial regulator, has announced today that it will leverage its new powers. These powers were granted through Law no. 8 of the 28th of February 2021, particularly article four, paragraph 3-bis.
The New Exiles
These new regulations grant Consob the power to order Internet service providers (ISPs) to block access to certain websites. In particular, websites that offer and/or advertise various financial products without the proper prospectus. The powers were given to Consob.
Today, Consob decided to use these powers, ordering access to be blocked to seven websites that offer financial services without the proper prospectus. The sites affected are Ankor Group Investment Ltd and IFXbancLtd, RedalLTD and Elit Property Vision Ltd, “Terra Finance,” Platiniumfx Ltd, Elit Property Vision Ltd, and FxRoyalLtd, as well as Blue Stone Invest Gmbh. An important thing to be aware of is that all those names were spelled as the company spelled it themselves.
Cumbersome Process Done 168 Times
When you tally it all up, the total number of websites Consob had blocked since it gained its powers back in 2019, has risen up to 168. The Authority was given the ability to order a general blackout of websites that use abusive financial intermediaries, way back
As it stands now, the process needed to block the aforementioned websites through the various Italy-based ISPs, are currently in progress. The procedure itself takes a few days to implement, due to the technical work needed to remove a website’s access from an entire country.
Fighting The Sea
Consob leverages other measures to ensure the protection of their investors, besides the process of blocking unauthorized websites. Back in December 2019, Consob banned one Rodeler Limited, a Cypriot parent company of both 24fx and 24option. The ban stopped them from providing investment services within Italy, as well as making any form of acquisition or solicitation of new clients within the country. The company was further banned from even continuing relations with its Italian clients, with Consob giving detailed orders regarding how the firm must help Italian clients close their open accounts.
Consob stated that the measure was needed, due to Rodeler Limited repeatedly violating the regulations in force. This comes in spite of the Cyprus Securities and Exchange Commission (CySEC) issuing a response to the reports Consob had sent it.
Italy is cracking down hard against the various companies. While this wouldn’t do much in terms of those that use a VPN service. It’s an admirable measure, even if it’s trying to empty the sea with a bucket of water.