Suspicion of a Fraudulent Scheme
As part of their mandate, the lawyers of Law Firm Mikov & Attorneys analyzed pieces of evidence showing that La Maison Du Placement participated in doubtful activities, probably with the cooperation of IronFX.
www.lamaisonduplacement.com ; www.lmdp.uk ; www.ironfx.com.au/fr
It appears to us, based on evidence provided by his victims, that La Maison Du Placement platform illegally solicited clients in France.
According to the reported facts, La Maison Du Placement made false promises and produced fake documents to testify its legitimacy:
- 7% bonus per deposit
- Guaranteed return on investment
- Account management by professionals
Suspicion of fake documents:
- Fake registration number with Banque de France
- Use of IronFX’s license with a European regulator
Albert K. is an 89-year-old retired man victim of La Maison Du Placement. He has no experience in computer and financial tools. He testified that La Maison Du Placement subjected him to the fraudulent scheme developed by the platform in June 2019. Albert K realized the situation when he asked for the withdrawal of the EUR 20 000 he had invested in the platform. La Maison du Placement then closed his account, and he never received his money.
It looks that La Maison Du Placement used false evidence to prove its regulation and gain Albert K.’s trust. IronFX, as the beneficiary of this scheme, may be considered as an ally of the illegal scheme set up by La Maison Du Placement.
It was revealed by us that in order to invest through La Maison Du Placement, the French clients were directed to IronFX’s website regulated in Australia. Albert K confirms such facts.
However, from our perspective La Maison Du Placement made its French clients believe that it was linked to IronFX regulated in Europe, by the CySEC authority.
According to our opinion, such a structure between European customers, unregulated and regulated platforms, is illegal as contrary to the Financial Instruments Markets Directive (MiFID).
The scheme of La Maison Du Placement
IronFX Australia does not have the regulation from the AMF or CySEC to provide investment services in France or elsewhere in Europe. Nor IronFX Australia is allowed to go through an intermediary to target customers from the European Market.
According to the documents provided by La Maison Du Placement to Albert K, it was not possible to verify a relationship with the Bank de France or the French Market Regulator, AMF. The exact relationship between the La Maison Du Placement and the IronFX group remains uncertain. However, it seems to us likely that La Maison Du Placement is an Introducing Broker of IronFX.
According to us, the most appropriate conclusion would be to consider that La Maison Du Placement acts as an Introducing Broker of IronFX to target and to make clients invest outside EU regulations.
The competent authorities should investigate in order to verify the facts disclosed and to sanction this scheme, which in any respect seems illegal.
If the reported facts are correct, this situation may potentially correspond to a scheme of embezzlement and money laundering. La Maison Du Placement has no legal authorization to provide investment services. According to the law, IronFX is responsible for its subcontractors’ misconduct. Further, IronFX is a beneficiary of this scheme.
IronFX has committed wrongdoings in the past that has been investigated by the authorities. In December 2017, and in November 2015, Cypriot financial market regulator CySEC issued a decision against IronFX because of the assumed breach of its regulation. Thus, IronFX paid EUR 335,000 as a result of the investigations carried out by CySEC.
To date, Law Firm Mikov & Attorneys has not received a response from the stakeholders in this alleged illegal scheme. Moreover, IronFX has yet to acknowledge the receipt of the claims for damages.
We suspect that this scheme affected many victims, as La Maison Du Placement, lmdp.uk, is still active. Thus, Law Firm Mikov & Attorneys expects the authorities, in the interest of its client Albert K and in the general interest, to conduct a thorough investigation of the presented facts.
Mikov & Attorneys and the author of this article are regularly engaged in the collection and dissemination of information to the public. Law Firm Mikov & Attorneys and the author of this article waive liability if there is inaccuracy in the facts provided by traders that were used in this article. The article aims to share experience, warn the interested parties and the authorities, and prevent potential losses. It was written in good faith, based on the testimonies of traders who have lost their investments, as well as on publicly available information and expresses the opinion of the lawyers dealing with the respective cases.