OctaFX

According to the RBI, companies engaging in transactions on electronic trading platforms (ETPs) without authorization or for reasons not covered by the Foreign Exchange Management Act (FEMA) may be subject to penalties under the Foreign Exchange Act

On Wednesday, the Reserve Bank of India (RBI) released a list of organisations engaged in FX trading on unlicensed electronic trading platforms as an alert among the 34 names on the list are OctaFX, Olymp Trade, I-Forex, FBS, Expert Option, Binomo, AVA Trade, IQ Option, Alpari, Forex.com, and TP Global Forex.

The Delhi Capitals team of the Indian Premier League (IPL) are sponsored by OctaFX.Following an increase in instances of consumers becoming victims of such organisations, RBI issued a warning against trading forex on unlicensed platforms in February of this year. 

According to the RBI, companies engaging in transactions on electronic trading platforms (ETPs) without authorization or for reasons not covered by the Foreign Exchange Management Act (FEMA) may be subject to penalties under the Foreign Exchange Act.

Meanwhile, the regulator did not specifically identify any of these organisations at the time, but after receiving several requests for clarification about the authorization of these organisations, RBI was compelled to release a warning list. 

The organisations on the warning list are neither authorised to conduct foreign exchange business in accordance with the Foreign Exchange Management Act of 1999 (FEMA) nor to run electronic trading platforms for such business.