RBI’s list of 75 unauthorized forex trading platforms; How to check authorised list

RBI’s list of 75 unauthorized forex trading platforms; How to check authorised list

Nov 24, 2023

Synopsis
Customers have received many warnings from the regulator not to transmit or deposit money for forex transactions or to undertake forex transactions on unapproved electronic trading platforms.

The Reserve Bank of India (RBI) has released another 'Alert List' including the names of organisations that are not permitted to trade in foreign exchange under the Foreign Exchange Management Act (FEMA), 1999 or to conduct foreign exchange transactions through electronic trading.

What is an Alert List?
The Alert List contains names of entities which are neither authorised to deal in forex under the Foreign Exchange Management Act, 1999 (FEMA) nor authorised to operate electronic trading platform (ETP) for forex transactions under the Electronic Trading Platforms (Reserve Bank) Directions, 2018. The Alert List also contains names of entities/platforms/websites which appear to be promoting unauthorised entities/ETPs, including through advertisements of such unauthorised entities or claiming to be providing training/advisory services.

However, this is is not a comprehensive list. One should not presume that an organisation not on the list has RBI authorization. The list of approved individuals and authorised ETPs may be used to determine the authorization status of any individual or ETP.

Also conducting forex transactions on unauthorised platforms could land you in legal trouble.

There have been several examples of forex scams in the past few months, in which con artists lure the public in by promising large returns on investments in a short period of time.

Customers have received many warnings from the regulator not to transmit or deposit money for foreign exchange (forex) transactions or to undertake forex transactions on unapproved electronic trading platforms (ETPs).

How to check if your forex dealer or online platform is authorised by RBI

You can check the authorisation status of any person or electronic trading platform from the list available on the RBI website.

You can check authorised dealers list on the RBI website: https://rbi.org.in/scripts/category.aspx

For full-fledged money changers list: You can check it here. https://rbi.org.in/Scripts/FFMCList.aspx

[The Economic Times]

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