News: The Reserve Bank of India has added seven entities/platforms/websites, including Starnet FX, CapPlace, Mirrox to its ‘Alert List’ of unauthorised Forex Trading platform.
About RBI’s ‘Alert List’ of Unauthorised Forex Trading Platforms
- The Reserve Bank of India (RBI) maintains a forex alert list to warn the public about unauthorized online platforms that offer illegal foreign exchange trading services.
- The alert list contains platforms that appear to advertise, support, or provide training for illegal forex trading activities.
- RBI regularly updates this list to caution users about the growing number of unauthorised platforms engaging in unlawful forex trading.
- The number of flagged platforms has now increased to 95.
- Impact of inclusion in list: Platforms included in this list are not permitted to conduct forex transactions under the Foreign Exchange Management Act (FEMA), 1999.
- These entities are also not authorised to operate electronic trading platforms for forex dealings in India.
- RBI warns that the list is not exhaustive, and the absence of a name does not imply approval or authorization from the central bank.
- The public is strongly advised to verify the credentials of any platform or individual before entering into any forex transaction.
- Engaging with unauthorized forex platforms can result in financial losses, legal issues, and exposure to fraudulent schemes.
- The alert list is part of RBI’s ongoing effort to protect consumers and ensure that India’s forex market operates within a secure and regulated framework.
