CONSOB's Crackdown: Italy Halts Access to Four Unauthorized Investment Sites

Italys Companies and Exchange Commission (CONSOB) has taken decisive measures to safeguard investors by issuing orders to block access to four unauthorized investment websites. These actions stem from the authority granted to CONSOB by the “Decreto crescita” (“Growth Decree”; Law no. 58 of 28 June 2019, Article no. 36, paragraph 2-terdecies), empowering it to direct Internet service providers to restrict access from Italy to websites offering financial services without proper authorization.

The websites targeted by CONSOB's recent orders include:

“Toroassets” (website www.toroassets.com);

“Interactive” (website https://int-active.io and related pages https://clientportalpag.inractve.com and https://int-ctive.solutions);

“CFD Active” (website https://i-activecfd24.com and related page https://client.i-activecfd24.com); and

“XTXMK” (website https://xtxmk.com and related page https://client.xtxmk.com).

This intervention marks a significant step in CONSOB's ongoing efforts to combat fraudulent financial activities and protect investors' interests. Since July 2019, when CONSOB was granted the authority to order the blocking of websites associated with abusive financial intermediaries, the total number of blocked sites has risen to 1079.

The process of blocking these websites by Internet service providers in Italy is currently underway. While the implementation of the blocking may require several days due to technical reasons, CONSOB remains steadfast in its commitment to swiftly address unauthorized financial activities and mitigate risks for investors.

In light of these developments, CONSOB underscores the importance for investors to exercise diligence and caution when making investment decisions. It is imperative for investors to conduct thorough research and due diligence, particularly when engaging with online financial platforms. This includes verifying the authorization status of operators offering financial services and ensuring that any financial product offers are accompanied by a published prospectus.

By emphasizing these precautions, CONSOB aims to empower investors to make informed choices and protect their financial interests. Through proactive regulatory measures and collaboration with Internet service providers, CONSOB seeks to maintain the integrity and stability of Italy's financial markets, fostering trust and confidence among investors.

As CONSOB continues to monitor and regulate the financial landscape, it remains vigilant in detecting and addressing unauthorized activities, thereby promoting transparency and accountability within the investment industry. By working collaboratively with stakeholders and implementing robust regulatory frameworks, CONSOB endeavours to create a secure and conducive environment for investors to thrive.