The Reserve Bank of India has issued an updated “alert list” featuring additional unauthorised forex trading platforms that are in violation of RBI regulations. The revised list now includes 13 new names, and these entities are prohibited from engaging in foreign exchange trading under the provisions of the Foreign Exchange Management Act (FEMA), 1999, or conducting electronic trading of foreign exchange transactions.
The updated Alert List is available here.
Sr. No Name Website
1 Ranger Capital https://www.rangercapital.net
2 TDFX https://www.tdfx.exchange
3 Inefex https://www.inefex.com/international
4 YorkerFX https://yorkermarkets.com
5 Growline https://grow-line.org
6 Think Markets https://www.thinkmarkets.com
7 Smart Prop Trader https://www.smartproptrader.com
8 FundedNext https://fundednext.com
9 Weltrade https://www.weltrade.com
10 FreshForex https://freshforex.com
11 FX Road https://www.fxroad.com
12 DBG Markets https://www.dbgmarketsglobal.com
13 Plusonetrade https://www.plusonetrade.com
The Alert List, issued by the central bank, contains names of entities which are neither authorised to deal in forex under the Foreign Exchange Management Act, 1999 (FEMA) nor authorised to operate electronic trading platform (ETP) for forex transactions under the Electronic Trading Platforms (Reserve Bank) Directions, 2018.
It also contains names of entities/platforms/websites which appear to be promoting unauthorised entities/ETPs, including through advertisements of such unauthorised entities or claiming to be providing training/advisory services
In April this year, Reserve Bank of India (RBI) Governor Shaktikanta Das raised concerns over unauthorised forex trading platforms and asked banks to maintain vigil against such illegal activities. At a conference in Barcelona, Das said: “We continue to see banking channels being used by certain persons or entities to fund activities on unauthorised FX (forex) trading platforms. This warrants enhanced vigilance by the banks.”
In 2018, the RBI introduced guidelines outlining the approval process for electronic trading platforms (ETPs) handling financial market instruments under its regulation. ETPs, electronic systems outside of recognized stock exchanges, facilitate transactions for eligible instruments such as securities, money market instruments, foreign exchange instruments, derivatives, and more.
In 2022, the RBI identified deceptive advertisements for unauthorized ETPs providing forex trading services to Indian residents, including on various online platforms such as social media, search engines, Over The Top (OTT) platforms, gaming apps, and others.
The RBI received reports of these ETPs employing agents who target unsuspecting individuals to participate in forex trading/investment schemes, luring them with promises of exaggerated returns. There were instances of fraudulent activities by unauthorized ETPs/portals, resulting in financial losses for many residents through such trading/schemes.
The RBI issued a warning advising the public to refrain from engaging in forex transactions with unauthorized ETPs or sending money for such unauthorized activities.
