Why is this scam
According to our research, CWMFX’s parent holdings has been involved with the Colossal $16 billion offshore Ponzi scheme of Belvedere Management Limited.
CWM FX, was the high-flying forex broker that burst onto the London forex scene in 2014.
In early March this year, its London high-rise offices at Heron Tower were raided and thirteen arrests made, ostensibly to do with alleged fraud and anti-money laundering activities, which the firm has subsequently denied. And after that, Leverate, the company’s trading platform provider in Cyprus, withdrew its support, forcing the broker to shut down its website. Clients had been forewarned, but all that exists today is a curt apology for the inconvenience at the site’s web address with no further explanation given or hints at when the current delays might end.
Previous, in May 2015, further details of alleged criminality by CWM FX emerged with reports of a scam targeting the Gurkha community in the UK that offered a promised return of 5% per month.
In July 2016 it was reported by OffshoreAlert that DMS Bank in the Cayman Islands and a British Virgin Islands domiciled client of the bank were being sued by 318 people who claimed to have lost £50 million on investments with CWM Group.
Let’s see the other signs.
Two men and one woman, aged between 44 and 61, were arrested on January 8, 2018. The Singapore Police Force has issued a brief notice announcing the arrest of a Forex trio involved in the promotion of a prohibited multi-level marketing scheme and conducting a business without the necessary license. Although the police did not disclose the name of the company they worked for, the reporters found out that it was a CMSF.
The founder of the CWM group of companies is Anthony Gregory Constantinou. Constantinou was born in 1981 and educated at Deree College where he obtained the degree of Bachelor of Business Administration (2000-2003). He was chief executive officer of AC Enterprises Limited (September 2005 to December 2012). In 2013 he was a director of Aixia Limited (trading as T4X Binary or T4X Signals) about which the Financial Conduct Authority issued a warning in 2014. He has served as a director of 24 companies, all of which have been dissolved.
It seems that Icarus is flying too close to the Sun with his waxen wings.
The signs of confirmation
If you try with simple Google search to find something about CWM FX, you will not reveal the details that you would normally expect. CWM FX seems to be covered in mystery, except for numerous high profile sports promotions. From the London Boat Show to race cars and boxing to rugby teams, the press releases are full off that. Then the firm inked a deal with Chelsea FC. They were on the top of the world.
And then things went wrong.
We couldn’t find any reviews of the firm by reputable review sites. Very little has been written about them.
Although their website is in idle mode, their “Facebook” page was very active with over 12,000 likes and streaming commentary related to the foreign exchange market. The only description given for the firm on Facebook is that “CWM FX is a complete FOREX trading platform allowing real time trading and statistics.” Today the picture is quite different. Their website is not active but this web address is http://cwm-world.blogspot.com/ and Anthony Constantinou is talking and talking.
During our investigation we found, on https://www.forexfraud.com/news/cwm-fx-smoke-may-forex-fraud-fire-brewing, part of post from a blogger that claimed he was employee of CWM FX and that company was:
“a boiler room and outlined all of the unethical practices there. I worked there as an employee literally for a couple of days and resigned in disgust after I witnessed the misrepresentation, misleading statements, lack of risk warnings and high pressure sales tactics. An additional poster on the thread I started mentioned how CWM FX was soliciting for asset management business (outside of their licensing) with a ‘guaranteed’ investment offering guaranteed monthly returns ‘off the record’ and suggested that it was a ponzi scheme.”
Recommendation – Never mix with any one like this. Behind the great glamor, there are often rotten fruits.