Scam Broker Psi Markets Forges Tax Declaration Notice and Defrauds Trader of More Than 40,000 Euros!

A forex and CFD broker called Psi Markets seems to be plundering traders' hard-earned money with impunity. The broker's website, https://psi-markets.net, is no longer accessible and has apparently absconded with clients' funds, while its other website, https://www.psi-markets.com/, is still active and is likely continuing to scam new victims.

Revealing a Victim Case 

According to a Psi Markets client who submitted a complaint with BrokersView, she was scammed out of more than €40,000 by the platform.

Here's what happened:

The client signed up with Psi Markets in February of this year and was guided by staff member Sofia to open an account by sending her personal information and transferring the initial investment amount of €250.

Sofia then matched her with an account manager, and from February 14th to March 22nd, the client invested a total of €37,250 under the manager's inducement.

However, when the client believed he had actually earned €32,264.88 and was about to withdraw €69,514.88 (the total amount after adding the deposits), everything started to go wrong. She was told that she had to pay €13,400 in taxes before she could withdraw the funds, so she transferred her remaining €9,000 to Psi Markets but was still asked to pay the full amount of taxes.

Exposing Psi Markets' Fraudulent Tricks

According to email messages provided by the client, her account manager had encouraged her to place leveraged trades for supposedly huge returns on the back of rising NVIDIA stock prices. Financial scammers usually use this kind of ill-intentioned aggressive sales tactics to lure investors to continue investing more money. 

Some traders also reported that Psi Markets used different phone numbers to call them repeatedly to make sales pitches.

Psi Markets even provided the client with a tax declaration notice allegedly from the UK Financial Conduct Authority (FCA) signed by "Mark Thomas, Director of FCA’s international operations," at the end of the document. First of all, there is no such thing as FCA’s international operations, and there is no one named Mark Thomas working for the FCA, secondly, the FCA is responsible for overseeing the UK's financial markets and firms, not taxes, so it would never send out so-called tax notice to investors.

In the UK, a forex investor or trader may be required to pay a percentage of capital gains tax or income tax on profits generated from their transactions in different circumstances, but tax returns should be submitted to the UK tax authorities by the trader themselves, and forex brokers are not allowed to charge traders for the tax.

Therefore, Psi Markets further defrauds its clients by falsifying documents and falsely claiming to be from a reputable regulatory agency in an attempt to mislead clients into believing that certain fees are legitimate and necessary. Already a few months ago, other traders reported problems with Psi Markets demanding high taxes and not being able to withdraw their funds.

Uncovering Psi Markets' Unregulated Status

Psi Markets offers services in the UK and provides false documentation from the FCA, but is it authorized by the regulator? The answer is no. Psi Markets claims that its website is run by a Dominican investment company called TBC International Markets LTD, and there is no match for the company in the FCA's database.

Psi Markets also claims that TBC International Markets LTD is authorized and regulated by the International Financial Services Commission of Dominica under license number 2019. however, this regulator does not exist and is purely a fabrication of the company. The sole financial services regulatory authority in Dominica is the Financial Service Unit (FSU), and upon checking, there is no company named TBC International Markets LTD on the registry of this agency.

Please also note that the FSU does not regulate forex activities and Dominica has not yet introduced the exact regulations governing forex activities.

Therefore, Psi Markets is purely a scam broker that falsifies its regulatory information.

BrokersView Reminds You

Do not enter into any transactions with the scam broker Psi Markets to protect your money.

Thoroughly investigate any investment opportunity and recognize red flags such as guaranteed high returns and persuasion to invest quickly.

Verify the legitimacy of trading platforms, brokers, and investment schemes. If you come across a scenario where unknown documents are presented, you can check with the official regulator to avoid being duped.