financemagnates.com
The United Kingdom’s Financial Conduct Authority (FCA) issued warnings on Wednesday against three companies that are running their operations without authorization, and some of them are clone firms. According to the watchdog’s website, Investing4You Ltd is offering financial services or products in the UK “without our authorization.”
“This firm is not authorized by us and is targeting people in the UK. You will not have access to the Financial Ombudsman Service or be protected by the Financial Services Compensation Scheme (FSCS), so you are unlikely to get your money back if things go wrong,” the FCA warned. On the other hand, Crylonltd – also dubbed as CRYPTO LONDON EXCHANGE LTD – and Kingsley Capital, also known as Kingsley Global, are clone firms, and investors are at risk of fall prey to possible scams.
Crylonltd is reportedly impersonating Crylon Limited, which the FCA fully authorizes to offer financial services in the United Kingdom. Also, Kingsley Capital is a clone firm of an FCA-licensed company named Kingsley Capital Partners LLP. Clone firms are bogus companies that are not authorized or registered under the watchdog’s rulings but still targets UK investors by claiming to be a licensed company in the country. “Be aware that scammers may give out other false details or mix these with some correct details of the registered firm. They may change contact details over time to new email addresses, telephone numbers, or physical addresses,” the UK FCA detailed in the announcement.
FCA Recommendations
Furthermore, the watchdog cautions investors: “We strongly advise you to only deal with financial firms that are authorized by us, and check the Financial Services (FS) Register to ensure they are. It has information on firms and individuals that are, or have been, regulated by us.”
In June, Finance Magnates reported that the FCA issued another warning against 111 unregistered cryptocurrency companies operating in the territory.