Resolution no. 22328

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 via the website https://tradon.pro and the respective webpage https://webtrader.tradon.cc

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 24th February 1998 ("Consolidated Law on Finance") and subsequent amendments and supplements;

HAVING ESTABLISHED that, from checks on the web, it emerged that:

i. the website https://tradon.pro, which is active and registered anonymously, offers potential investors the opportunity to trade on the forex market and with CFDs on shares, indices and commodities;

ii. in order to place such trades, users must register with the website https://tradon.pro by opening an account and depositing the necessary funds; specifically, the website https://tradon.pro advertises three types of account, referred to as "Cent", "Pro Trader" and "Prime", depending on the minimum deposit required and the benefits promised;

iii. the registration procedure on the website https://tradon.pro and access to the reserved area of the website were also found to be accessible starting from the separate domain https://webtrader.tradon.cc/;

iv. the footer of the pages of the website https://tradon.pro contains a statement affirming that the website "is owned and operated by Ingenue Consulting LLC" with stated registered office in Saint Vincent and the Grenadines;

v. the contact section of the website contains a form for requesting information and support and provides the email addresses it@tradon.pro, support@tradon.pro and documents@tradon.pro;

HAVING REGARD TO Consob Resolution no. 22276 of 3 March 2022, whereby "Ingenue Consulting LLC" was ordered to cease its infringement of Article 18 of the Consolidated Law on Finance carried out through the separate website https://tradon.io;

WHEREAS the activity carried out through the website https://tradon.pro and the relevant page https://webtrader.tradon.ccis deemed to constitute 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 possibility through the aforementioned domains to open a trading account and place buy and/or sale orders on financial instruments;

WHEREAS the aforementioned activity is still ongoing and is aimed at Italian investors, given that there have been reports ofcold calling towards Italian retail investors regarding the website;

WHEREAS Ingenue Consulting LLC, as mentioned on the website https://tradon.pro, is not authorised to provide investment services to the Italian public, since it is not listen on the register maintained 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 to authorised parties as referred to under 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 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 https://tradon.pro website and its https://webtrader.tradon.cc webpage, consisting in offering and providing 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.

4 May 2022

THE CHAIRMAN
Paolo Savona