SAMTRADE FX ANSWERS QUESTIONS ABOUT DEPOSITS, WITHDRAWALS, AND OVERSEAS INVESTORS

S.A.M. Trade FX promptly ceased the local and foreign commercial activities of its “main operational companies and other related businesses” in early January to handle a combined investigation by Singapore's regulator's CAD and MAS.

The investigation focuses on the trading services provided by S.A.M. Trade FX, which is operated by S.A.M. Trade FX Limited, a business incorporated in St Vincent and the Grenadines. It also includes its Singapore-based affiliates, S.A.M. Trade FX LLP and Samtrade FX (SG) Pte Ltd.

The FX and CFD broker, which has stopped account opening, account adjustments, settlements, payments, trade opening, and closure, has responded to worried users' inquiries by publishing a FAQ regarding the situation and media attention.

“This FAQ is designed to clarify issues raised by our recent corporate statement about the CAD and MAS of Singapore's media announcement of 3 January 2022.” If you haven't already, please read it here.

THE STATUS OF DEPOSITS, WITHDRAWALS, AND OVERSEAS INVESTORS IS ADDRESSED BY SAMTRADE FX.

Q1: What is the current status of customer/investor deposits？

A1: The company's management and officers are unable to access the appropriate account(s) where the investors' deposits are presently held. CAD has also issued orders prohibiting the company's management from accessing such accounts.

The firms and their officials are seeking legal assistance to evaluate possibilities for acquiring access to clients' deposits to satisfy any withdrawal request by customers/investors based on contractual obligations on a best-efforts basis.

As a result, we have temporarily halted all local and international commercial activities of our core operational businesses and other associated organizations. This will be reviewed on an ongoing basis.

Q2: How are the firms' transaction processes (deposits, withdrawals, etc.) and operations doing？ If so, did the authorities carry it out？

A2: Due to the restriction orders placed by the authorities on the management, the company's management was forced to halt the company's commercial activities, including but not limited to account opening, account adjustments, settlements, and payments.

Q3: Is it possible for customers/investors to withdraw or have their money back to them？

A3: See A1 for further information.

The firms and their officials are seeking legal assistance to evaluate possibilities for acquiring access to clients' deposits to satisfy any withdrawal request by customers/investors based on contractual obligations on a best-efforts basis.

Q4: Is there a defined deadline for customers/investors to get their money back？

A4: We refer to the Authorities' media announcement dated 3 January 2022, which said that investigations began on December 28, 2021. Because the investigations are continuing, we are unable to offer a definite timetable.

Q5: Given that the MAS is a Singaporean authority, how, if at all, will this affect foreign investors？

A5: The Monetary Authority of Singapore (MAS) governs financial institutions and entities based in Singapore, as well as financial institutions and businesses with activities in Singapore. Currently, as indicated in a media statement dated 3 January 2022, the authorities are conducting joint investigations into the online trading platform, Samtrade FX, which is operated by Samtrade FX Limited and its affiliated Singapore firms, Samtrade FX LLP and Samtrade FX (SG) Pte Ltd. Overseas investors are influenced by the ban orders imposed by the authorities on the management of the firms on the activities of these entities until the conclusion of the investigations.

Q6: Is there an information site where customers/investors may go for further information？

A6: We will continue to provide best-effort updates on this subject on our corporate website [https://www.samtradefx.com/news].

In July 2021, Singapore's Monetary Authority of Singapore (MAS) put Samtrade FX on its watch list.

According to MAS, if its examination reveals gaps or Samtrade FX has violated rules, the agency would conduct a further assessment and take appropriate measures. No firm in the group is licensed to provide capital market services in Singapore.

In July 2021, MAS put Samtrade FX on its watchlist and directed the business to stop accepting new investors.

Finally, the police and MAS warned the public to be wary of companies that operate outside the law and without the requisite authorization and licenses.

They may also examine the MAS' Investor Alert List, which includes the names of firms that have come to the watchdog's notice because they are unlicensed in Singapore and are suspected of or have been, targeting local investors, or claiming to have a link with the city-state.

“Members of the public may check the MAS' Financial Institutions Directory to see whether an organization has a valid license.” They may also review MAS' Investor Alert List, which is a list of unregulated individuals and businesses that may have been mistakenly viewed as licensed or approved by MAS based on information received by MAS. The regulatory framework established by the MAS attempts to guarantee that only competent and professional individuals may offer regulated financial services. “If you choose to engage with unregulated businesses or individuals, you will forfeit the protection provided by MAS rules,” it said.

The following is a previous comment from Samtrade FX on the subject.

ABOUT THE MEDIA RELEASE DATE 3 JANUARY 2022 BY THE COMMERCIAL AFFAIRS DEPARTMENT AND THE SINGAPORE MONETARY AUTHORITY

• We refer to the media announcement dated 3 January 2022 issued by the Singapore Police Force's Commercial Affairs Department and the Monetary Authority of Singapore (collectively “Authorities”) about investigations into Samtrade FX Limited, Samtrade FX LLP, and Samtrade FX (SG) Pte Ltd.

• We and our officers will fully cooperate and help the authorities in their investigations.

• In addition, we have hired Messrs Rajah & Tann Singapore LLP (https://sg.rajahtannasia.com/) as our Singapore corporate legal counsel to assist us on any legal issues relevant to the continuing investigations.

• Given the above, we shall take immediate actions to halt our major operational businesses' and other related entities' local and foreign business activities, including but not limited to account opening, account adjustments, settlements, payments, and trade opening and closing.

• To protect the interests of all stakeholders, we are preparing applications to the Singapore courts to place certain entities under judicial management and to appoint Mr. Goh Thien Phong of GTP Advisory PAC and Mr. Chan Kheng Tek of PricewaterhouseCoopers Advisory Services Pte Ltd as interim judicial managers (“Interim JMs”). Until the judicial management petitions are resolved, the Interim JMs shall independently and competently monitor all issues and affairs about these businesses.

• Because the Authorities' investigations are continuing, we ask for stakeholders' understanding that we will not be able to handle any requests or instructions in the interim (including for trades, payments, or withdrawals). More information will be provided by the Interim JMs once they have been nominated and taken operational charge.

• More information on material advances will be supplied when it becomes available.