Three companies in the FCA warning list have been dubbed clone firms. These are ICM Capetal, www.longleafmanagement.co.uk, and IntertradesFX. All three of these have claimed to be regulated by the FCA and to be running legitimate operations within the UK.
Fraudsters have been increasingly relying on cloning tactics in order to to get closer to people who use legitimate brokers. In other words, scammers are contacting users of the firms that the fraudsters are imitating.
The UK overseer warned that all financial services have to be authorized by them. It is their advice to always check for a legitimate license before investing.
The FCA assures all users and Traders that the fraudsters have absolutely no connection to the licensed entities that they duplicate.
Variations of investment scams are seemingly increasing rather than decreasing. More and more schemers develop new tools and ways to trick and manipulate users. Indeed, acting as a clone of a legitimate business is one of the most successful ways of soliciting money.
Furthermore, the acts of cloning firms for the profits of legitimate businesses has reached a point in its timeline when even regulators are being reproduced. For example, in the past, CySEC has issued warnings on a couple of websites that had copied all of its fundamental operations in order to promote illicit investment opportunities