LCG Ceases Operations Due to FlowBank Bankruptcy

Retail FX and CFDs broker London Capital Group (LCG) has recently announced to cease operations, according to its official website.

LCG is a trading brand owned by FlowBank SA, a company that had been licensed by the Swiss financial regulator FINMA. However, FlowBank declared bankruptcy and ceased operations last month, and on June 13, it entered liquidation.

As a brand of FlowBank, LCG's funds were deposited in the account of FlowBank SA, which led to LCG having to cease operations.

LCG stated," LCG Capital Markets Limited maintains funds with accounts at FlowBank SA. Due to significant agreements between LCG Capital Markets Limited and FlowBank SA, the appointment of the Liquidators has currently made it impossible for LCG Capital Markets Limited to carry out its operations."

Previously, the UK Financial Conduct Authority (FCA) set restrictions against LCG's U.K.-based entity from accepting new clients and deposits.