In the announcement of August 6 the CySEC encourages investors to contact the Cyprus Financial Ombudsman, which is the competent body to examine compensation claims via an extrajudicial procedure.
The presence of an arbitration office for clients complaining against regulated investment firms is required by the MiFID directive and by the 2013/11/EU directive (Arbitration Dispute Resolution).
Unfortunately the CY Financial Ombudsman has not processed a single complaint filed against IronFx till now. This office, which has to examine complaints both against Cyprus banks and investment firms, does not possibly possess sufficient human resources to cope with a large number of complaints.
Maybe the fact that this arbitration office is not able to process complaints within a reasonable time is an infringement of European directives which allow Cyprus investment firms to operate in the EU.
The CY Financial Ombudsman requires the payment of a fee of 20, – € for each complaint. This fee is moderate.
On October 22 the CySEC announced that the Financial Ombudsman is now “fully operative”. This is possibly the results of our complaints to the ESMA.
If you cannot access your funds at IronFx, you can file your case to this arbitration office.
Please be aware that you can file a complaint to the Financial Ombudsman 3 months after having sent a complaint to IronFx (login to the Complaint Portal).
Be aware of the deadline for filing a case to the Financial Ombudsman: 4 months after the final response of the investment firm.
The Complaint Form for the Financial Ombudsman can be downloaded here.
The procedure can take up to 9 months.
First decisions are imminent
There are clients who complained to the Financial Ombudsman in April 2015. For this reason we are waiting for the first decisions in the matter related to IronFx in August 2016.
We have known that al least 1400 disputes against IronFx were filed to the Financial Ombudsman