Resolution no. 22250

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 carried out through the www.delitraders.net website and related https://client.delitraders.net web page

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 supplements;

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

HAVING ESTABLISHED that, from checks on the website www.delitraders.net, it emerged that:

i. the www.delitraders.net website offers the opportunity to trade CFDs and futures with currencies, shares, indices and commodities as their underlying assets;

ii. to be able to trade, users must register at https://client.delitraders.net and open an account to deposit the necessary funds. Specifically, three types of account are offered: "Basic", "Premium" and "VIP";

iii. the www.delitraders.net site mentions the company Miva Solutions LLC and the brand "DeliTraders". Both at the bottom of the website pages and in the "Customer Agreement" published on the site, it states that the aforementioned Miva Solutions LLC is allegedly based in Saint Vincent and the Grenadines; moreover, the "contacts" section of the site makes reference to two London addresses and a telephone number with a Cypriot prefix.

HAVING REGARD TO Consob Resolutions no. 22079 of 11 November 2021 and no. 22206 of 10 February 2022, whereby the aforementioned Miva Solutions LLC was ordered to cease its infringement of article 18 of the Consolidated Law on Finance conducted through the https://delitraders.com and https://eurocapitals.com websites, respectively;

WHEREAS, in addition to using a domain that is partially superimposable on the domain of the aforementioned https://delitraders.com website, the www.delitraders.net website replicates the content and graphic format of the said https://delitraders.com site;

WHEREAS the activity carried out through the www.delitraders.net website and the respective https://client.delitraders.net pageconstitutes the provision of investment services, as referred to in article 1, paragraph 5, of the Consolidated Law on Finance, insofar as users are offered the opportunity through the aforementioned domains to open a trading account and place orders to buy and/or sell financial instruments;

WHEREAS the aforementioned activity, carried out through the www.delitraders.net website and relevant https://client.delitraders.net web page, is still ongoing and is aimed at Italian investors, insofar as the www.delitraders.net site can be translated into Italian via machine translation systems; moreover a complaint was received from an Italian investor;

WHEREAS Miva Solutions LLC is not authorised to provide investment services to the Italian public, since it does not appear on the dedicated register held by Consob pursuant to art. 20 of the Consolidated Law on Finance;

HAVING REGARD TO the requirement to hold a relevant licence in order to provide investment services, as per article 18, paragraph 1, of the Consolidated Law on Finance, pursuant to which "The professional provision of investment services and activities to the public is reserved to Italian Investment firms, EU investment firms, Italian banks, EU banks and non-EU firms";

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 provisions of art. 7-octies, letter b) of the Consolidated Law on Finance - "Powers to counteract abuse" - according to which Consob "may, with regard to anyone who offers or carries out investment services or activities through the Internet without being qualified pursuant to this decree: […] b) order the offending party to cease 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. 58/1998 carried out through the www.delitraders.net website and relevant https://client.delitraders.net page, consisting in the provision of investment services and activities to the Italian public.

This Resolution shall be brought to the attention of the concerned parties and 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.

3 March 2022

THE CHAIRMAN
Paolo Savona