My Forex Funds have recently been undergoing pressure from regulators. This started with two companies moving against the company. This is the CFTC of the US and the OSC in Canada. These are both regulators and allege the company of undertaking illegal practices. For now, My Forex Funds has severed its services, and this has now left the platform in an awkward position. Currently, the platform has 135,000 customers while handling $310 million of their fees, giving them access to their Forex chart patterns.
The main target of their accusations is Murtuza Kazmi, who they have brought charges against. He had been in charge of My Forex Funds through two different companies. These are Traders Global Group Inc. and Global Group Inc.
My Forex Funds, an Exchange You Can’t Trust
They have accused My Forex Funds of misrepresenting its services. It offered to give traders the opportunity to become professionals by allowing them to use third-party liquidity and share the profits. In reality, the company was a counterparty for all trades, making for quite a misrepresentation and allowing Kazmi to profit considerably.
Furthermore, regulators announced this previous Friday that they believed the company would often find dodgy pretexts to end their contracts with customers. They’ve also been charging commissions differently than they should on their Forex exchange. There were plenty of other accusations alongside these.
There are reports that the owner, Kazmi, has been using the fees for his own purposes. Reportedly, he bought homes and vehicles using the money he gathered on the platform.
The CFTC has already taken action to ensure the company stops its activities. It already has a restraining order for the company. This allows for the freezing of Kazmi’s assets and the companies he operates. In the meantime, the company will have to submit their records to the regulator to have a hope of lifting the ban.
