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Forex and Investment Fraud: A Roadmap to Recovering Your Money

Av. Mehmet KoruJune 202610 min read

A process that begins with a promise of "guaranteed returns," where small profits are shown at first, you are persuaded to invest more, and then you face obstacles when trying to withdraw... This is exactly how forex and investment fraud works. If you are a victim of this, you are not alone, and there are legal steps you can take. In this guide, we explain the recovery process step by step.

Important: This article is for general information only and does not constitute legal advice. Each case has its own circumstances; it is important to consult an expert lawyer for your situation. Loss of time significantly reduces the chances of recovery.

How Does Forex Fraud Work?

The typical fraud scheme follows these steps: an "investment advisor" reaches you via social media or phone, promising high and "guaranteed" returns. Initially, you are shown profits on a fake platform with a small investment. Once trust is established, you are persuaded to deposit larger amounts. When you try to withdraw, new payments are demanded under pretexts such as "tax" or "commission," and eventually contact is cut off.

Important: In Illegal Forex, the Victim Is Not Guilty

A person who deposits money in illegal forex transactions is also the victim of fraud. Therefore, the investor bears no criminal liability. Forex (leveraged trading) is legal in Turkey, but it can only be conducted by SPK-licensed intermediary institutions. Under the Capital Markets Law No. 6362, conducting capital market activity without authorisation is unlawful.

A foreign licence offers no protection: If money is being collected from investors in Turkey, Turkish law applies. A foreign licence does not render the act of fraud lawful.

Legal Classification: TCK Art. 158/1-f

Forex fraud is usually assessed as qualified fraud committed through the use of information systems (TCK Art. 158/1-f). The penalty for this offence is three to ten years' imprisonment and a judicial fine. The statute of limitations for qualified fraud is 15 years.

Step by Step: What Should You Do?

1. Gather the Evidence

Bank receipts, details of the account you sent money to, all WhatsApp/email correspondence with the platform and the "advisor," platform screenshots, and any crypto transfer records (TxID). This evidence is the foundation of the process.

2. Check Whether the Platform Is Licensed

Verify on the SPK website whether the firm is licensed. This determines the path to follow: a dispute with a licensed firm follows a different route than a fraudulent/unlicensed platform.

3. Criminal Complaint to the Public Prosecutor

File a criminal complaint with the Public Prosecutor's Office at your place of residence, together with your evidence. In your petition, you may also request that the intermediary bank accounts in Turkey to which you sent money be frozen.

4. Legal Avenues for a Refund

Enforcement proceedings and a tort compensation claim may be brought against persons or companies that can be reached in Turkey. For payments made by credit card, a chargeback application to the bank may also be considered.

Disputes with a Licensed Forex Firm

If the issue is a transaction error or withdrawal dispute with an SPK-licensed legal firm, it is treated as a private law dispute. In this case, applications may be made to the Consumer Arbitration Committee and to the Customer Disputes Arbitration Committee within the Turkish Capital Markets Association (TSPB).

The Situation with Foreign Platforms

If the victim is in Turkey and the loss occurred in Turkey, Turkish courts have jurisdiction. However, if the perpetrator is abroad, the process is conducted through mutual legal assistance mechanisms, which is longer and more complex in practice. For this reason, the rapid freezing of intermediary accounts in Turkey is critical.

Beware of secondary fraud: Do not fall for fake "recovery" services that demand a fee with the promise of "getting your money back." This is a common trap that targets victims a second time.

We Are by Your Side in Forex Fraud Recovery

In cases of loss on illegal forex platforms, we carefully manage evidence collection, criminal complaints, account-freeze requests and refund processes. Request a complimentary initial consultation to assess your case.

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