Although one of the pioneers in the field of online retail binary options trading, Banc de Binary is often reported to be having troubles with regulators. CySEC, the financial industry regulator for Cyprus where Banc de Binary has its corporate headquarters, has to date imposed several fines on the broker. Back in May 2014, a fine of EUR 10,000 was imposed on Banc de Binary for concealing information about its business ties. In February 2015, CySEC also notified the public of an administrative penalty (this time worth EUR 125,000) imposed on Banc de Binary for breaching Cypriot investment laws, while in early May 2015 the allegedly suspicious business ties of the broker attracted another penalty of EUR 20,000 by the watchdog.
Unfortunately for them, Banc de Binary has received yet another fine, this time for insufficient Anti-Money Laundering systems. According to a relevant announcement issued by CySEC and dated 3 August, during its 6th July meeting, the regulator’s Board decided to impose a total administrative fine of €22.000 to Banc De Binary Ltd for violating section 58(a) of the Prevention and Suppression of Money Laundering and Terrorist Financing Law of 2007, as in force, as well as paragraphs 5(d) and 9(1)(d),(i),(j) of the CySEC’s Directive DI144-2007-08 of 2012 for the Prevention of Money Laundering and Terrorist Financing.
In its announcement the Cypriot regulator claims inter alia that Banc de Binary was found not to be employing adequate and suitable systems and procedures regarding the verification of customers’ identity, monitoring of transactions and accounts. In addition, CySEC also concluded that Banc de Binary had not implemented adequate measures for identifying and evaluating the risks associated with current clients of the company.