The Reserve Bank of India (RBI) has issued an ‘Alert List’ containing the names of 34 entities which are neither authorised to deal in foreign exchange under FEMA nor authorised to operate electronic trading platform for forex transactions under electronic trading platforms.
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These entities include Alpari, AnyFX, Ava Trade, Binomo eToro, Exness, Expert Option,, FBS, FinFxPro, Forex.com. Forex4money, Foxroex, FTMO, FVP Trade, FXPrimus, FXStreet, FXCM, FxNice, FXTM, HotForex, ibell Markets, IC Markets, iFOREX, IG Markets, IQ Option, STS Forex Trading, OctaFX, Ilymp Trade, TD Ameritrade, TP Global FX, Trade Sight FX, Urban Forex, XM and XTB. This list has been uploaded on RBI’s website.
The RBI had on February 3 cautioned the public not to undertake forex transactions on unauthorised electronic trading platforms (ETPs) or remit/deposit money for unauthorised forex transactions.
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“The Alert List is not exhaustive and is based on what was known to RBI at the time of this press release. An entity not appearing in the Alert List should not be assumed to be authorised by the RBI,” it said.
Reiterating that resident persons can undertake forex transactions only with authorised persons and for permitted purposes, in terms of the FEMA, the RBI said while permitted forex transactions can be executed electronically, they should be undertaken only on ETPs authorised for the purpose by the RBI or on recognised stock exchanges.
“Members of the public are once again cautioned not to undertake forex transactions on unauthorised ETPs or remit/deposit money for such unauthorised transactions. Resident persons undertaking forex transactions for purposes other than those permitted under the FEMA or on ETPs not authorised by the RBI shall render themselves liable for legal action under the FEMA,” RBI said.
The authorisation status of any person / ETP can be ascertained from the list of authorised persons and authorised ETPs, which are already made available in the RBI website.