UK Insolvency Service announces two binary options firms placed in provisional liquidation


UK authorities continue their clampdown on binary options firms. Today, the UK Insolvency Service announced that two binary options firms – Right Corp Limited and Curve Point Limited, had been placed in provisional liquidation. The action follows an investigation by Company Investigations of the Insolvency Service.

The two companies operated a website which offered a binary options trading online platform to members of the public. The website presented binary options as being “the simplest form of trading”.

The role of the provisional liquidator, the official announcement explains, is to protect assets in the possession or under the control of the companies pending the determination of the petitions. The provisional liquidator also has the power to investigate the affairs of the companies insofar as it is necessary to protect assets including any third party, or trust monies, or assets in the possession of, or under the control of the companies.

It is understood that clients of these binary options firms have been contacted by individuals who are claiming to be acting on behalf of the “liquidator” of Right Corp Limited. These clients are told that if they were prepared to pay a further amount of money to the purported liquidator, they would be able to recover the sums that they had invested in the companies. Any individual contacted in this manner is advised not to make any such payment and to get in touch the Official Receiver.

The case is now subject to High Court action and no further information will be made available until petitions to wind up the companies are heard in the High Court on February 27, 2018.

Last month, the High Court wound up the firms behind binary options brand Magnum Options. The websites and made numerous claims as to possible investment returns, with an 81% return rate per trade typically touted. There were 41 complaints made to the police against Magnum Options in the period February 2016 to March 2017, with customers reporting losses of more than £750,000.