247SmartFx

A summary of what happened?

247SmartFx: Overview and Allegations

247SmartFx is a forex brokerage firm that claims to offer competitive spreads and high leverage to traders. However, the company has been the subject of numerous complaints and allegations, raising concerns about its legitimacy and business practices.

Key Concerns and Allegations:

1. Withdrawal Issues: Many traders have reported significant delays and difficulties when attempting to withdraw funds from their accounts with 247SmartFx. These issues have led to suspicions that the platform may be facing liquidity problems or is intentionally hindering withdrawals to avoid payouts.
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2. Unclear Regulatory Status: 247SmartFx’s regulatory standing is ambiguous. The company claims to be regulated by the UK’s Financial Conduct Authority (FCA) under the license number 723385. However, investigations suggest that this license may belong to another entity, indicating that 247SmartFx could be operating without proper authorization.
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3. Manipulative Trading Practices: There are allegations that 247SmartFx engages in manipulative trading practices, such as rigging trades to the detriment of clients. Traders have reported unexpected losses and irregularities in trade executions, leading to accusations of fraudulent activity.
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4. Suppression of Negative Feedback: The company has been accused of attempting to suppress negative reviews and feedback. Some reports suggest that 247SmartFx has issued fake DMCA notices to remove unfavorable content, raising further concerns about its transparency and integrity.
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5. False Regulatory Claims: 247SmartFx purports to offer leverage up to 1:200 while claiming to be regulated by CySEC. However, such high leverage is typically not permitted under CySEC regulations, suggesting that the company’s claims about its regulatory status may be false.
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The combination of withdrawal issues, unclear regulatory status, manipulative trading practices, and efforts to suppress negative feedback has led many traders to label 247SmartFx as a potential scam. Prospective clients are advised to exercise caution and conduct thorough due diligence before engaging with this platform.

Analyzing the Fake Copyright Notice(s)

Our team collects and analyses fraudulent copyright takedown requests, legal complaints, and other efforts to remove critical information from the internet. Through our investigative reporting, we examine the prevalence and operation of an organized censorship industry, predominantly funded by criminal entities, oligarchs, and disreputable businesses or individuals. Our findings allow internet users to gain insight into these censorship schemes’ sources, methods, and underlying objectives.

What was 247SmartFx trying to hide?

247SmartFx‘s attempts to hide unfavourable content through the misuse of copyright notices while allegedly engaging in perjury present serious legal concerns. These actions suggest a calculated attempt to manipulate legal systems to suppress free speech, a fundamental violation of copyright law principles and an abuse of legal processes. The use of such tactics not only undermines the integrity of copyright protection but also potentially constitutes perjury, further entangling 247SmartFx in legal accountability. Let’s examine the information 247SmartFx may be trying to remove from the internet –

Investigative Report: The Controversies Surrounding 247SmartFx

Introduction

247SmartFx presents itself as a forex and CFD trading platform, offering features such as high leverage, competitive spreads, and an intuitive interface for traders. However, beneath this façade lie numerous allegations and complaints that paint a troubling picture of the company’s practices. This investigative report delves into the adverse news, allegations, and client grievances surrounding 247SmartFx, analyzing the evidence to understand whether this platform is a legitimate trading service or a potential scam.

1. Regulatory and Licensing Concerns

A cornerstone of any legitimate forex broker is its regulatory status. 247SmartFx claims to be regulated by the UK’s Financial Conduct Authority (FCA) under license number 723385. However, upon closer inspection, this license is linked to another entity entirely, raising suspicions that 247SmartFx is operating under false pretenses.

• Claims of Regulation:
  The platform also purports to be regulated by CySEC (Cyprus Securities and Exchange Commission), which imposes strict rules on forex brokers, including limits on leverage (typically capped at 1:30 for retail clients). However, 247SmartFx offers leverage as high as 1:200, a violation of CySEC guidelines. This discrepancy indicates that their claim of CySEC regulation is likely fabricated.
• Ambiguity in Legal Status:
  The lack of verifiable regulatory documentation combined with false claims about regulatory oversight places 247SmartFx in a dubious category, suggesting the platform may be unlicensed and operating outside legal frameworks.

2. Allegations of Financial Misconduct

a. Withdrawal Complaints:

A large number of users have reported issues when attempting to withdraw their funds from 247SmartFx.

• Delayed Withdrawals:
  Clients complain of long delays, sometimes spanning months, when processing withdrawal requests. The company often cites technical issues, documentation verification, or compliance checks as reasons for these delays.
• Unprocessed or Denied Withdrawals:
  In more severe cases, users claim that withdrawal requests are outright denied or ignored, with customer support becoming unresponsive. This raises concerns about whether the platform possesses sufficient liquidity to honor client withdrawals or if it is deliberately obstructing payouts to retain funds.

b. Financial Losses Through Questionable Trading Practices:

Multiple clients have alleged that 247SmartFx engages in manipulative trading practices designed to cause client losses:

• Rigged Trade Execution:
  Some traders reported trades being closed prematurely or positions being liquidated at unfavorable rates, even when market conditions should not have triggered such actions.
• Price Manipulation:
  There are allegations of discrepancies between market prices displayed on the platform and actual market rates, leading to losses for clients.
• Account Wiping:
  Clients have reported sudden and inexplicable losses in their trading accounts, wiping out balances overnight without any detailed explanation or evidence of how these losses occurred.

3. Suppression of Negative Reviews and Feedback

A peculiar pattern of behavior has been observed where negative reviews or articles about 247SmartFx are removed from public platforms, raising suspicions of deliberate efforts to suppress criticism.

• DMCA Notices:
  Several independent websites and blogs hosting negative reviews or exposing fraudulent practices allegedly faced fake DMCA takedown requests. These actions suggest an intent to control public perception and prevent potential clients from discovering negative information.
• Astroturfing Allegations:
  Conversely, there are accusations that 247SmartFx has created fake positive reviews on forums and social media platforms to drown out legitimate complaints and improve its reputation.

4. Lack of Transparency in Operations

a. Hidden Fees and Terms:

Many users have reported being blindsided by hidden fees not disclosed during the account registration process. These fees often appear during withdrawals, drastically reducing the amount returned to clients.

• Unclear Fee Structure:
  The company’s website lacks detailed information about account maintenance charges, withdrawal fees, or other associated costs, leaving traders vulnerable to unexpected deductions.
• Overnight Swap Fees:
  Users have also reported exorbitant swap fees charged on overnight positions, far exceeding industry norms.

b. Ambiguous Business Address:

247SmartFx lists a business address in London, UK, but investigations reveal that the location is likely a virtual office. This lack of a physical presence further erodes trust in the company’s legitimacy.

5. Lawsuits and Sanctions

While there is limited evidence of formal lawsuits against 247SmartFx, regulatory bodies in various jurisdictions have flagged the company for its unauthorized operations:

• Blacklist Status:
  The platform has been flagged on scam monitoring websites for operating without a license and failing to comply with industry regulations.
• Sanctions:
  It is suspected that certain jurisdictions have issued warnings or sanctions against 247SmartFx, though such records are often hard to verify due to the company’s opaque nature.

6. Client Testimonials and Negative Reviews

Common Complaints:

User testimonials and reviews collected from forums like TrustPilot, Forex Peace Army, and Reddit reveal recurring grievances:

1. Withdrawal Denials:
   “I deposited $5,000 and made profits over the course of two months. When I tried to withdraw, they asked for additional documents. After complying, they stopped responding altogether.”
2. Unexpected Account Closures:
   “My account was suddenly closed after I questioned the discrepancies in my trade executions. I lost all my funds with no explanation.”
3. Unresponsive Support:
   “Customer support is nonexistent. Once you deposit money, they are quick to help, but the moment you face issues, you’ll never hear from them again.”

Positive Reviews Under Scrutiny:

While there are glowing reviews praising the platform, these often lack credibility and are suspected to be fabricated by the company to counteract negative feedback.

7. Expert Opinions

Experts in the forex industry have analyzed 247SmartFx and identified several red flags:

• Unrealistic Leverage: Offering leverage as high as 1:200 is both unsustainable and against regulations in many jurisdictions, signaling risky behavior or a disregard for client safety.
• Lack of Regulation: The absence of verifiable licenses is a major warning sign, especially in an industry rife with scams.
• Manipulative Practices: Expert reviews highlight that discrepancies in pricing and trade execution often indicate internal market-making practices designed to favor the broker at the expense of clients.

Conclusion: A Troubling Picture

The allegations and complaints against 247SmartFx paint a deeply concerning picture. From withdrawal issues to manipulative trading practices, false regulatory claims, and efforts to suppress negative feedback, the platform displays many hallmarks of a potential scam.

Recommendations for Traders:

• Avoid Engagement: Until the company provides clear regulatory documentation and resolves its complaints, it is advisable to avoid trading with 247SmartFx.
• Report Suspicious Activities: Victims of the platform’s practices should report incidents to relevant financial regulatory authorities.
• Seek Alternative Brokers: Consider trading with brokers that are transparently regulated by reputable organizations such as the FCA, CySEC, or ASIC.

The case of 247SmartFx underscores the importance of due diligence when choosing a forex broker. Traders are urged to remain vigilant and skeptical of platforms that offer overly generous terms without substantiated regulatory backing.

How do we counteract this malpractice?

Once we ascertain the involvement of 247SmartFx (or actors working on behalf of 247SmartFx), we will inform 247SmartFx of our findings via Electronic Mail.

Our preliminary assessment suggests that 247SmartFx may have engaged a third-party reputation management agency or expert, which, either independently or under direct authorization from 247SmartFx, initiated efforts to remove adverse online content, including potentially fraudulent DMCA takedown requests. We will extend an opportunity to 247SmartFx to provide details regarding their communications with the agency or expert, as well as the identification of the individual(s) responsible for executing these false DMCA notices.

Failure to respond in a timely manner will necessitate a reassessment of our initial assumptions. In such an event, we will be compelled to take appropriate legal action to rectify the unlawful conduct and take the following steps –

Since 247SmartFx made such efforts to hide something online, it seems fit to ensure that this article and sensitive information targeted online by these events get a lot more exposure and traffic than what it would have received originally

We hope this becomes an excellent case study for the Streisand effect…The key idea behind the Streisand effect is that efforts to restrict information can backfire, often causing the information to gain more attention than it would have otherwise. This effect is widespread in the digital age, where users quickly notice and spread censorship efforts on social media and other platforms. Trying to suppress something can unintentionally lead to it becoming more visible, which 247SmartFx is finding out the hard way.

Potential Consequences for 247SmartFx

Under Florida Statute 831.01, the crime of Forgery is committed when a person falsifies, alters, counterfeits, or forges a document that carries “legal efficacy” with the intent to injure or defraud another person or entity.

Forging a document is considered a white-collar crime. It involves altering, changing, or modifying a document to deceive another person. It can also include passing along copies of documents that are known to be false. In many states in the US, falsifying a document is a crime punishable as a felony.

Additionally, under most laws, “fraud on the court” is where “a party has sentiently set in motion some unconscionable scheme calculated to interfere with the judicial system’s ability impartially to adjudicate a matter by improperly influencing the trier of fact or unfairly hampering the presentation of the opposing party’s claim or defense.”  Cox v. Burke, 706 So. 2d 43, 46 (Fla. 5th DCA 1998) (quoting Aoude v. Mobil Oil Corp., 892 F.2d 1115, 1118 (1st Cir. 1989)).

Is 247SmartFx Committing a Cyber Crime?

Yes, it seems so. 247SmartFx used multiple approaches to remove unwanted material from review sites and Google’s search results. Thanks to protections allowing freedom of speech in the United States, there are very few legal ways to do this. 247SmartFx could not eliminate negative reviews or search results that linked to them without a valid claim of defamation, copyright infringement, or some other clear breach of the law.

Faced with these limitations, some companies like 247SmartFx have gone to extreme lengths to fraudulently claim copyright ownership over a negative review in the hopes of taking it down.

Fake DMCA notices have targeted articles highlighting the criminal activity of prominent people to hide their illegal behavior. These people, which include US, Russian, and Khazakstani politicians as well as members from elite circles including the mafia and those with massive financial power, are all connected – and alleged corruption ranging from child abuse to sexual harassment is exposed when exploring evidence found at these URLs. It appears there’s a disturbing level of influence being exerted here that needs further investigation before justice can be served. 247SmartFx is certainly keeping interesting company here….

The DMCA takedown process requires that copyright owners submit a takedown notice to an ISP identifying the allegedly infringing content and declaring, under penalty of perjury, that they have a good faith belief that the content is infringing. The ISP must then promptly remove or disable access to the content. The alleged infringer can then submit a counter-notice, and if the copyright owner does not take legal action within 10 to 14 days, the ISP can restore the content.

Since these platforms are predominantly based in the U.S., the complaints are typically made under the Digital Millennium Copyright Act (DMCA), which requires online service providers and platforms to react immediately to reports or violations. Big Tech companies rarely have systems in place to assess the merit of each report. Instead, all bad actors need to do is clone a story, backdate it, and then demand the real thing be taken down.

Reputation Agency's Modus Operandi

The fake DMCA notices we found always use the “back-dated article” technique. With this technique, the wrongful notice sender (or copier) creates a copy of a “true original” article and back-dates it, creating a “fake original” article (a copy of the true original) that, at first glance, appears to have been published before the true original.

Then, based on the claim that this backdated article is the “original,” the scammers send a DMCA to the relevant online service providers (e.g. Google), alleging that the ‘true’ original is the copied or “infringing” article and that the copied article is the “original,” requesting the takedown of the ‘true’ original article. After sending the DMCA request, the person who sent the wrong notice takes down the fake original URL, likely to make sure that the article doesn’t stay online in any way. If the takedown notice is successful, the disappearance from the internet of information is most likely to be legitimate speech.

As an integral part of this scheme, the ‘reputation management’ company hired by 247SmartFx creates a website that purports to be a ‘news’ site. This site is designed to look legitimate at a glance, but any degree of scrutiny reveals it as the charade it is.

The company copies the ‘negative’ content and posts it “on the fake ‘news’ site, attributing it to a separate author,” then gives it “a false publication date on the ‘news’ website that predated the original publication.

The reputation company then sent Google a Digital Millennium Copyright Act notice claiming the original website infringed copyright. After a cursory examination of the fake news site, Google frequently accepts the notice and delists the content.

In committing numerous offences, 247SmartFx either premeditated actions or were unaware of the consequences. Despite hiring an agency to make Google disregard any negative information about 247SmartFx, ignorance does not excuse this wrongdoing.

Fake DMCA notices have targeted articles highlighting the criminal activity of prominent people to hide their illegal behavior. These people, which include US, Russian, and Khazakstani politicians as well as members from elite circles including the mafia and those with massive financial power, are all connected – and alleged corruption ranging from child abuse to sexual harassment is exposed when exploring evidence found at these URLs. It appears there’s a disturbing level of influence being exerted here that needs further investigation before justice can be served. FSMSmart is certainly keeping interesting company here.

The Reputation Laundering

Rogue Reputation agencies use spurious copyright claims and fake legal notices to remove and obscure articles linking clients to allegations of tax avoidance, corruption, and drug trafficking. Most of these reputation agencies are based offshore, mainly in Russia, India, and Eastern Europe, and they do not worry about complying with US-based laws.

The content in all of the articles for which the fraudulent DMCA notices have been sent relates to allegations of criminal allegations, including corruption, child abuse, sexual harassment, human trafficking and financial fraud against businesses and individuals with ultra-high net worth.

In addition to the misuse of the DMCA takedown process, there is a notable absence of enforcement concerning perjury violations. The statutory requirement related to perjury is designed to deter copyright holders from submitting fraudulent or knowingly false takedown requests, as they may face legal consequences for making false declarations under penalty of perjury. However, to date, there have been no known instances of any individual being prosecuted for perjury in connection with the submission of false DMCA takedown notices.

This lack of enforcement has emboldened copyright holders to exploit the DMCA takedown process to suppress dissent, criticism, or other unfavorable content, without fear of legal repercussions.

Some of the people and businesses who have employed this tactic to remove legitimate content from Google illegally include a Spanish businessman-turned-cocaine-trafficker, Organised crime, an Israeli-Argentine banker accused of laundering money for Hugo Chávez’s regime, a French “responsible” mining company accused of tax evasion, child molesters and sexual predators. 247SmartFx is in great company ….

What else is 247SmartFx hiding?

We encourage you to ‘Dork‘ Google by searching for keyword combinations such as [247SmartFx] + {Negative Keyword, such as Scam, Fraud, Complaints, Lawsuit, Sanction, etc} on Google. It’s likely if you scroll down to the bottom of this Google search results, you’ll stumble upon this Legal Takedown notice (pictured below)

To make such an investigation possible, we encourage more online service providers to come forward and share copies of content removal requests with industry experts and researchers. If you have any information on 247SmartFx that you want to share with experts and journalists, kindly email the author directly at [email protected].

All communications are strictly confidential and safeguarded under a comprehensive Whistleblower Policy, ensuring full protection and anonymity for individuals who provide information.