(Reuters) -Several U.S. regulators have requested Kazakhstan-based Freedom Holding for information, a company spokesperson told Reuters on Friday, adding that none of the authorities have filed any charges against the fintech firm.
Earlier in the day, CNBC first reported that Freedom was being investigated by the U.S. Department of Justice and Securities and Exchange Commission counsel over compliance issues, insider stock moves, and an offshore affiliate tied to sanctioned individuals.
“We are confident that we are in a strong position to explain… to regulators on what and how we have acted at what points in time and why our actions were legal,” Freedom Holding head Timur Turlov told Reuters.
The SEC declined to comment on the existence or nonexistence of a possible investigation, whereas the Department of Justice did not immediately respond to Reuters requests for comment.
In August, Freedom was under attack from Hindenburg that said its research into the company had revealed “hallmark signs of fake revenue” and market manipulation in both its investments and stock, as well as evidence it “brazenly skirts sanctions”.
The allegations in the Hindenburg report are without merit, Freedom had said then.
(Reporting by Jaiveer Singh Shekhawat in Bengaluru and Mariya Gordeyeva in Almaty; Editing by Shinjini Ganguli)