MANILA, Philippines – The Philippines is banning OctaFX’s operations in the country after it was found to be doing business without securing the necessary licenses from the Securities and Exchange Commission (SEC) in violation of the country’s laws.
The National Telecommunications Commission (NTC) has ordered all internet service providers to immediately block the website of OctaFX for the protection of the investing public, following a request made by the corporate regulator.
“The public’s continued access to these websites/apps poses a threat to the security of the funds of investing Filipinos,” the SEC noted in its request.
“The sale or offer of unregistered securities to Filipinos constitutes a violation of [Sections] 8 and 12 (sale of unregistered securities) and [Section] 28 (operating as an unregistered broker) of the Securities Regulation Code,” it added.
READ: SEC warns public against fraudulent investment schemes online
Unregistered securities
The request followed an advisory issued by the SEC against OctaFX, also known as Octa Trading, in September last year.
OctaFX offers the trading of over 300 financial instruments from a wide range of asset classes, such as foreign currency pairs, foreign shares, index funds and commodity derivatives. It also provides leverage trading products, where customers borrow money for trades.
READ: Protection against investment fraud
The SEC said OctaFX “appeared to be registered brokers and dealers oversees, and the securities and investments being offered likewise appeared to be registered in various countries.”
“In the Philippines, however, the Securities Regulation Code requires the prior registration with the SEC of any securities for public offering within the Philippines,” it said. INQ