The Cyprus Securities and Exchange Commission (CySEC) has officially announced the withdrawal of the Cyprus Investment Firm (CIF) license of Arumpro Capital Ltd. The decision was during a CySEC meeting on November 11, 2024, in accordance with Section 8(1)(a) of the Investment Services and Activities and Regulated Markets Law of 2017 and Section 4(7) of the Directive DI87-05.
CySEC stated that the company had voluntarily renounced its authorization. This move follows a series of regulatory actions and compliance failures by Arumpro Capital. Notably, in January 2022, the UK Financial Conduct Authority (FCA) revoked the firm’s Part 4A permission. The FCA’s decision was based on the company’s repeated failure to provide requested information, specifically in relation to the TPR Attestation Survey, and its inability to meet the suitability and effective supervision Threshold Conditions.
CySEC Withdrawal of Arumpro Capital Ltd License Amid Regulatory Failures
The FCA found that Arumpro Capital Ltd. had not demonstrated its fitness or propriety to operate within the regulatory framework, raising concerns about the firm’s ability to be effectively supervised. The FCA’s scrutiny revealed significant concerns about the firm’s operations, ultimately leading to its deregistration in the UK.
CySEC’s decision to withdraw Arumpro’s CIF license is a significant development in the firm’s regulatory history, reflecting a broader trend of increased scrutiny and enforcement within the financial services sector. This move by CySEC underscores the importance of regulatory compliance and transparency, particularly for firms operating in the European Union and beyond.
The withdrawal of Arumpro’s license further emphasizes the challenges facing investment firms that fail to meet the necessary regulatory standards and serves as a reminder of the critical role regulatory authorities play in maintaining financial market integrity.
This serves as a clear reminder to investment firms operating within the EU and globally to maintain robust governance and cooperate with regulatory authorities to ensure the integrity and stability of financial markets.
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