The temporary representative does not take over the company’s management and the appointment does not have influence on clients and their opportunities to use the company’s services.
Foxpay will be able to continue carrying out its activities at the extent that is not restricted by the Bank of Lithuania.
Foxpay was obliged not to establish new business ties and not to provide financial services to clients related to company’s shareholder Ieva Trinkūnaitė.
The company was also obliged not to establish new business ties and not to provide financial services to clients attributed to a greater money laundering and terrorist financing risk group, as well as to clients providing investment, gambling, IT, marketing and virtual currency services.
UAB Grant Thornton Baltic was designated as the temporary representative for the supervision of the company’s activities.
Any decision related to Foxpay activities made by its leadership may be adopted only with the consent of the temporary supervisor. The Bank of Lithuania will be constantly provided information about Foxpay activities.
The decision was made pursuant to an inspection completed on 9 July 2024. To safeguard consumer rights and public interests, the Bank of Lithuania exercised the right granted by law and undertook only the necessary preventive measures.
The Bank of Lithuania established that in the inspected period, from 30 September 2022 until 20 March 2024, Foxpay activities and its management had fundamental and significant shortcomings concerning inappropriate adherence to laws, licencing compliance requirements, money laundering and terrorist funding prevention, internal control, protection and control of client funds, and information security management.
The central bank determined that Trinkūnaitė does not meet requirements for impeccable reputation, while a person close to Trinkūnaitė was involved in various matters related to Foxpay activities.
It was concluded that in certain cases Foxpay monitoring system did not function properly and clients’ suspicious payment operations were not stopped.
It was also determined that Foxpay granted access to its information systems to users whose identity could not be confirmed.
During the inspection, Foxpay provided to the Bank of Lithuania incorrect, incomplete and in some cases conflicting information related to its clients, their cases and payment operations, internal control processes etc.