Resolution no. 21201

Order, pursuant to article 7-octies, paragraph 1, letter b) of Legislative Decree no. 58/1998 ('Consolidated Law on Finance') to cease the infringement of article 18 of the Consolidated Law on Finance performed through the website www.bcprofit2019.com

LA COMMISSIONE NAZIONALE PER LE SOCIETÀ E LA BORSA
[THE NATIONAL COMMISSION FOR COMPANIES AND THE STOCK EXCHANGE]

HAVING REGARD TO Law no. 216 of 7 June 1974 and subsequent amendments and additions;

HAVING REGARD TO Legislative Decree no. 58 of 24 February 1998 ('Consolidated Law on Finance') and subsequent amendments and additions;

HAVING ESTABLISHED that, from checks on the website www.bcprofit2019.com, it emerged that:

i. potential investors are offered the opportunity through the www.bcprofit2019.com website, which is also available in Italian, after registering, of opening an account to carry out investment transactions on currency pairs in the FOREX market and on 'financial products' with underlying 'raw materials listed on the financial markets';

ii. in order to be able to trade, a cash investment is required to be paid into an account opened online;

iii. there is also a section on the website called 'Operated Account', which promotes 'money management' by a potential investor, proposing two types of 'mandate' referred to respectively as 'collective investment scheme mandate' and 'mixed mandate';

iv. there is a 'BCProfit' logo on all the website pages; at the bottom of each page it states that 'Bc Profit2019 is a new generation of asset management company" and it gives an address in the Republic of Ireland.

WHEREAS the activity carried out through the above website can be classed as the provision of investment services as referred to in article 1, paragraph 5 of the Consolidated Law on Finance, insofar as clients are offered the opportunity, amongst other things, of opening a trading account against which purchase and/or sale orders for financial instruments can be issued;

WHEREAS the above transactions, carried out through the www.bcprofit2019.com website, are ongoing and aimed at Italian investors, since the website is in Italian;

WHEREAS the company mentioned on the website is not authorised to provide investment services to the Italian public, since it does not appear to be listed in the register kept by Consob pursuant to article 20 of the Consolidated Law on Finance;

HAVING REGARD TO the fact that the provision of investment services and activities is reserved for authorised entities as referred to under art. 18, paragraph 1 of the Consolidated Law on Finance, pursuant to which, 'The professional provision of investment services and activities for the public is reserved for investment firms and banks';

HAVING ESTABLISHED, therefore, that the operations in question qualify as the professional provision of investment services to the Italian public, in infringement of art. 18, paragraph 1 of the Consolidated Law on Finance;

HAVING REGARD TO the fact that, according to the provisions of article 7-octies, letter b) of the Consolidated Law on Finance - 'Powers to counteract abusive practices' - CONSOB 'may, with regard to anyone who offers or carries out investment services or activities over the Internet without being qualified to do so pursuant to this decree: […] b) order the cessation of the infringement';

CONSIDERING it therefore necessary, in the light of the foregoing, to adopt this resolution immediately for reasons of urgency;

RESOLVES:

To order the cessation of the infringement of Article 18 of Legislative Decree no. 58/98 carried out through the www.bcprofit2019.com website, consisting in the execution and offering of investment services and activities to the Italian public.

This Resolution shall be brought to the attention of those whom it concerns and will be published in the Consob Bulletin.

This measure may be appealed before the Regional Administrative Court of Lazio within 60 days of the date of service.

December 18, 2019

THE CHAIRMAN
Paolo Savona