Italian financial services regulator Consob has ordered the closure of four new websites for illegally offering unauthorized financial services. According to a statement issued by the regulator today (Friday), Consob disclosed that it has ordered internet service providers to block access to the targeted companies.

Consob's Ongoing Crackdown

These financial service providers are FCapital24, Multibank Group, Stocket, and TGFInvest. According to the watchdog, the firms operate the websites fcapital24.org, multibankfx.com, multibankfx.com, stocket.me, www.tgfinvest.com, and my.fxmt.tech/platforms, respectively.

Consob’s latest action brings the number of websites the agency has blocked since 2019, when it obtained the power to order the blocking of websites offering illegal services, to 1,134. The regulator has urged the public to exercise caution by ensuring that their financial service providers are authorized and that the information prospectus has been published.

In April, Consob blacklisted five websites suspected of offering illegal financial services to the public. The platforms include FCapital24 (fcapital24.com), Future Invest Limited (future-invest-limited.com or cfd.future-invest-limited.com), and LevictousLTD.com (levictousltd.com).

Consob also banned Trading42 Ltd, or Trading42 Financial Llc (trading42.com), and RussellGroupFX (russellgroupfx.com) for illegally providing financial services. The agency mentioned that this action will protect investors from fraudulent activities in the financial space.

Strengthening Regulation in Emerging Sectors

Interestingly, Consob has tightened its oversight in the emerging proprietary space. Last month, the watchdog cautioned the public about the risks associated with retail proprietary trading.

In its statement, Consob described prop trading activities as online trading simulations that promise profits but could lead to losses. The regulator added that such services compel users to move from simulated trading to actual trading using capital provided by the prop firms.

Consob has referred investors to its website for information and resources on identifying and avoiding financial scams. The regulator has also cautioned users against clone brokers masquerading as legitimate firms to defraud them. The watchdog noted deceptive tactics used by clone firms to look legitimate.