The Cyprus Securities and Exalter Commission has fined Conotoxia Ltd €3,650 for lapses in “the Prevention and Suppression of Money Laundering and Terrorist Financing,” , a minor penalty that lands against the backdrop of far larger troubles for the Polish-owned broker.
While the fine itself is negligible in size, the timing is notifying. It comes less than two months after CySEC suspconcludeed Conotoxia’s license altoreceiveher, citing concerns over board oversight, shareholder suitability and compliance with European organisational requirements. During the suspension the firm is barred from providing investment services, taking on new clients or marketing its products, and must instead settle open transactions and return funds to customers.
Earlier in September, CySEC stated its board decided in July to sanction the firm under Article 56(4) of the CySEC Law after it missed the deadline for the Q1 2025 “QST-CIF” form, a statistical return that every Cyprus investment firm must lodge. The report was required under Circular C691, which repaired an early-May deadline for firms authorized as of 31 March.
Conotoxia Ltd, licensed since 2017 under number 336/17, is part of the wider Conotoxia Holding, the Polish group best known for running the Cinkciarz.pl money transfer and forex brand. The Cyprus arm was set up to service clients in the European Union, offering contracts for difference and other leveraged products.
That international expansion has collided with mounting regulatory problems at home. In October 2024, Poland’s financial supervisor KNF revoked Conotoxia sp. z o.o.’s payment services licence, citing deficiencies around safeguarding of client funds and managerial oversight. A Warsaw court upheld the revocation in March this year. Conotoxia has publicly disputed the KNF’s decision and has pursued legal remedies, but the episode rattled banking partners and cast doubt on the group’s governance.
CySEC’s suspension order in July echoed some of the same themes, highlighting weaknesses in management structure and shareholder fitness. The missed statistical filing, while a routine compliance tquestion, fits into that pattern. Supervisors view failures to deliver quarterly returns on time as a sign of internal disorganisation, even if the financial penalty is symbolic.
Conotoxia is not alone in being fined for late or incomplete submissions. CySEC regularly publishes notices imposing administrative penalties on investment firms that miss the QST-CIF deadlines, though most of those fines fall in the low-thousands range. The quarterly forms feed into the regulator’s broader market surveillance, capturing data on client balances, volumes and exposures.
The firm was given one month to take corrective steps following the July suspension. CySEC has not yet disclosed whether those steps have been completed or whether further action is likely.
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