ePayments Systems, a troubled electronic money institution processing online payments, announced on Tuesday that it has entered into the process of a solvent wind-down, thus initiating a complete shutdown of the business.
The move came almost three years after the UK regulator, the Financial Conduct Authority, suspended the company from conducting business, citing “some weaknesses in our financial crime controls.”
Now, with the harsh economic conditions, it has become difficult for the payments company to resume services. It has already communicated its decision with the FCA.
“We have over this period been working hard to ensure these are up to the required standard, but in these extremely challenging and unprecedented global economic conditions, and with the business being restricted for such an extended period we can no longer sustain the business to build back to what the FCA require and a ‘business as usual’ state,” ePayments stated.
The company, which claims to have signed one million users, offered payment services to 'high-risk' clientele, including companies in cryptocurrencies , foreign exchange, the adult industry and many more.
Despite many speculations in the industry, the exact reason for the crackdown on the company is unknown as of yet.
In September 2020, the company announced its intentions to resume services but said it would not provide support for the cryptocurrency industry. Without any specific timeline, the platform ended up not offering any service.
Refunds in Process
“We will not return to full operations and will now focus entirely on providing customers with refunds and working through the process of closing your accounts as we close down the business.”
Additionally, the payments company assured customers that their funds are kept in “safeguarded accounts.”
“As we close the business over the coming months we encourage those with funds in their e-Wallets to withdraw these funds, and those not currently open for refunds to supply any required information required for us to open the refund for you,” the statement added.
