Nowadays, illegal forex brokers are often exposed in news reports. From disconnecting trading server to causing serious slippage and negative balance through manipulation, the forex brokers keep coming up with new tricks to defraud investors’ assets, leaving them in heavy losses.
Exposure of illegal broker:
Complainant: Mr. Qiu
Illegal broker: G-IMFCH
Cause of complaint: the broker rejected withdrawal applications
Mr. Qiu is an investor at G-IMFCH. His withdrawal application, submitted this August, was left unapproved by the broker, and although the customer service kept saying they have “sped up” processing of the issue, Mr. Qiu saw no progress in solving his withdrawal failure after waiting for more than a month. Having had enough of the broker, Mr. Qiu finally decided to file a real-name complaint at WikiFX in order to warn others against G-IMFCH.
It turns out that the customer service’s so-called “expedited processing” of the application is only a lame excuse for the broker to postpone investor’s withdrawal. Meanwhile, the English introduction from the broker’s website is full of empty brag with little substantial information, and it’s hard to tell from these hypes how exactly is G-IMFCH an “award-winning” broker as it claims.
Moreover, G-IMFCH has also posted countless advertorials under titles such as “forex trading strategies” or “handy forex tips” on web-based forums and media portals, in order to gain more media exposure and appeal to more investors who may become its victims later on. This again reminds investors not to rely on a single source of information such as online advertisements and carefully check a broker’s credibility through various sources before investment.
G-IMFCH claims itself to be holding a New Zealand’s FSP license with regulatory number FSP479826. However, Financial Markets Authority (FMA) requires all forex brokers offering in New Zealand to hold a derivatives license, and having FSP alone means the broker is unauthorized in forex brokerage. Many illegal brokers tend to fool investors from this aspect, claiming that they are compliant brokers under regulation, which is not true.
By checking the WikiFX App, we learn that both the FMA (New Zeland)’s license and FCA (UK)’s license that G-IMFCH claims to hold are suspected to be cloned. The broker, currently unregulated, uses white-label MT4/5 software with suspicious server IP and has a poor rating of 1.48 on the WikiFX App. In addition, WikiFX has received over 20 complaints against the broker in the past 3 months, suggesting high risks in the broker.
You may visit WikiFX’s website www.wikifx.com to view more exposures of illegal brokers. To report a broker scam, please contact us at [email protected]. Let’s work together and nip more illegal brokers in the bud.
G-IMFCH is rated at 1.48 on the WikiFX App