2021
Securities Commissioner Travis J. Iles entered an emergency cease and desist order against DailyForex247, an online investment platform, and Ghulam Wardag, its senior account manager. The order accuses the parties of perpetrating an online scam tied to forex trading and cryptocurrency mining.
According to the order, the investments in forex trading and cryptocurrency mining are regulated as securities in Texas. However, DailyForex247 and Wardag are not registered to sell securities in Texas, and the securities are not registered or permitted for sale in Texas.
Still, DailyForex247 has allegedly been misleading investors with claims of licensure. For example, DailyForex247 is accused of falsely claiming it is registered with the United States Securities and Exchange Commission. DailyForex247 is also allegedly representing its brokerage firm is registered with the International Financial Market Relations Regulation Center – but this organization is not a regulatory agency for any government and does not provide licensure for parties offering or selling securities in Texas.
“This action reflects the importance of conducting thorough due diligence and independently verifying the registration of online promoters,” said Commissioner Iles. “Bad actors often try to add legitimacy to their schemes by misrepresenting their licensure. Investors should check and corroborate any claims that online investment platforms are registered to deal in securities.”
The order also accuses DailyForex247 of publishing phony testimonials of satisfied clients – a tactic online investment platforms may also use to falsely bolster their legitimacy.
Contact: Joe Rotunda, Director of Enforcement, at jrotunda@ssb.texas.gov or 512-305-8392.