The regulatory bodies in British Columbia and Manitoba, BCSC and MSC, issued a warning on binary broker CentralOption for using false business data and offering binary services in Canada without proper authorization. The entire case sounds like a scenario from Hollywood movies, as it turns out that broker contacted one of the investigators in Manitoba Securities Commission who is working on binary scams.
CentralOption Scam Story
One evening, Jason Roy received a phone call from a broker CentralOption, who was promising great investment opportunity in numerous assets in a completely safe environment with guaranteed profits. What the Sean Bessi, who works for CentralOption didn’t know is that Jason Roy is a senior investigator who has been extensively working on binary scams in the past two weeks.
Jason Roy explained the situation to the Winnipeg Free Press:
“Bessi started to pitch me on the exact sort of illegal investments I’ve been investigating for the past two years. It was a bit surreal. I can tell you, they’re very smooth, and they’re very nice on the phone, as everybody who is trying to separate you from your money is going to be.”
The investigator explained how the operator spent an entire hour on the phone with him and, Roy finally managed to get the information how CentralOption is behind this scam.
It is not surprising that Sean Bessi, claimed many things that simply aren’t true:
- Binary options trading is risk-free
- 100% money back guarantee
- Headquarters in Toronto
The Truth behind CentralOption
However, Roy found out the next day how there are no headquarters in Toronto, and how the phone number listed on the website is an internet based number in Latvia. The website belongs to an Israeli citizen.
Roy started the investigation and notified Israeli authorities immediately. Even though he claims that the entire research is in a preliminary stage, this is just another sign how there is a need for stricter regulations in the Canadian market. Read full BCSC scam warning.
In Canada, every province has its own regulation, and binary brokers aren’t regulated on a national level. This leaves many traders unprotected as not every province has the same standards.