Italy’s financial watchdog CONSOB has added five new websites to its blacklist and blocked them from having access to the Italian financial market. the regulator explained that the firms behind these websites were offering illegal financial services to Italian residents.
The blocked websites include Invest Union Ltd, ETA Ltd, Finomarkets, Bitaroma, and Tetris Group Ltd. The addition of the five websites means that CONSOB has now blocked a total of 708 websites since July 2019 when the exercise began.
CONSOB Intensifies Efforts Against Illegal Firms
The Italian regulator has intensified its efforts against illegal firms over the past few months. It has requested that investors carry out due diligence before making any investment decision. According to the watchdog, proper research and a careful look into the company will help them avoid placing their money at risk. This warning is coming as the level of scams in the financial sector, especially on digital assets, keeps increasing in Europe.
“Consob draws investors’ attention to the importance of adopting the greatest diligence to make informed investment choices,” the regulator stated.
CONSOB Urges Investors To Carry Out Due Diligence
CONSOB also noted that the investors should confirm whether the operator is authorized to offer the services they are advertising. They should also make sure a prospectus has been published for the offer of financial products by the company.
The watchdog is one of the few financial regulators with absolute authority to block the operations of website funds wanting in their operation. The “Growth Degree” Law gives CONSOB the right to order internet connectivity access providers to block any website that is operating illegally in the country.
To offer more protection to investors, CONSOB has also created a section on its website called “Watch for Scams”, where fraudulent websites are identified. The regulator urges investors to always check the page to verify that the company they intend to invest with has not been blacklisted.