Photo by Dalle-E OpenAI

Freedom Holding Faces Investigation by U.S. Authorities for Compliance Issues

Kazakhstan-based financial services company, Freedom Holding, is currently under investigation by the U.S. Department of Justice and the Securities and Exchange Commission (SEC) over compliance issues and insider stock moves, according to a CNBC report. The SEC’s Boston regional office has been conducting a probe into Freedom for several months, focusing on allegations of non-compliance and potential market manipulation.

In August, Freedom Holding faced criticism from Hindenburg, a research firm, which accused the company of fake revenue and market manipulation. Freedom Holding promptly denied these allegations, stating that they were without merit. The U.S. Attorney’s Office for Massachusetts is also reportedly conducting preliminary inquiries into the matter.

The investigation by U.S. authorities comes as Freedom Holding faces scrutiny over its offshore affiliate, which is allegedly linked to sanctioned individuals. The company and the U.S. authorities have not yet commented on the ongoing investigation.

Freedom Holding, headquartered in Kazakhstan, provides a range of financial services to clients in various countries. The outcome of the investigation will be closely watched by investors and stakeholders in the financial industry.

Please note that this article is based on the information provided in the CNBC report and no official statements have been released by the U.S. Department of Justice, SEC, or Freedom Holding at this time.

Leave a comment