Alleged B2B Hub Scam Pt. I: A Forex Licensing Nightmare

In September 2024, shortly after Fazzaco launched the new "Whistleblower & Intelligence" feature, a grievance letter was sent to our e-mail inbox. Sent from a forex brokerage startup, the informant complained about a disturbing experience with a company named FX B2B Hub Ltd (now rebranded B2B Hub).

According to the broker (referred to as Broker A), B2B Hub, led by a person named Amiran Azaladze, promised to help them acquire a forex broker license in Vanuatu but failed to deliver after two years. Our source at Broker A, referred to as the Informant hereinafter, agreed to share the full story under anonymity, shedding light on how B2B Hub allegedly scammed the company.

The Beginning

Broker A first engaged with B2B Hub in October 2022. They were seeking assistance to obtain a Vanuatu Financial Services Commission (VFSC) license, a crucial step for their forex operations.

The Informant explained that the connection with B2B Hub came through his industry contacts, and the company's ability to handle licensing matters seemed credible at the time. "So we reached out to one of their representatives, who then set up a group chat between us and Amiran. From there, we started the process of applying for the license and discussing local taxation," said the Informant.

The deal seemed straightforward: for $40,000, B2B Hub would handle everything - from setting up the local entity to delivering the license. The first installment of $30,000 was paid, with the remaining $10,000 to be settled once the license was approved.

Payment proof provided by Broker A, the Invoice was billed in the year of 2022

So the two sides signed an agreement in January 2023, and all documents required by VFSC license application had been submitted to Amiran's hands. As part of the agreement, if the application was unsuccessful, B2B Hub was obligated to a full refund.

Delays and Empty Promises, Again and Again

However, as months went by with little to no progress, concerns started to surface at Broker A. By May 2023, the red flags became undeniable. "We reached out to other consultants and even the local government to investigate whether such delays were normal, and that's when we learned that B2B Hub didn't even have the necessary credentials to process our license," the Informant recounted, "because Amiran doesn't even have local Company Services License, according to the information provided by Mr Roy MacDonald, who used to work as the first Registration Manager at VFSC where he helped along the way to build and establish the government online uniformed registration system; as well as Hurley Law, which is an acrredited law firm under VU laws."

As Broker A' patience ran thin, their team also discovered through the Vanuatu Attorney General's office that B2B Hub had never properly registered their local entity. This raised suspicions that the company was prolonging the process intentionally.

VFSC's warning notice against FX B2B Hub in February 2023

VFSC's warning notice against FX B2B Hub in March 2023

Reply from Roy MacDonald, who warned that dealing with Amiran might risk losing money

"It became clear that he was deliberately delaying the process to use our first payment for his other business ventures," said the Informant.

As frustration grew, Broker A threatened to take legal actions to the UK Government, and this move obviously prompted Amiran to respond. In an official letter he wrote to Broker A, Amiran promised that the first installment of the service fee would be refunded if he failed to complete the local entity registration by September 2023 and finalize the VFSC license approval by November 2023.

Amiran's first letter, in which he promised final licensing in mid-September 2023, or full refund of paid amount to Broker A.

Amiran's second letter, in which he promised license application approval by Sept 29, 2023, and again a refund of USD 26,530 in case of failure with 5,000 deducted to cover their incorporation fees.

"Only after we threatened to take it to the UK court did they finally begin registering our local entity. That was when they started acting very active in presenting us all the payment proofs, progress notice from Vanuatu compliance outsource they hired, until we finally had our local entity registered. Then again, they put us back in the dark," said the Informant.

After the entity registration in Vanuatu, however, Amiran went off-the-radar again and the few times he did respond, he just lied, according to the Broker A team.

"We asked him for the promised refund, or at least 70% of the paid amount, since nothing was materialized by November. But he just lied. At one point, he even claimed that the license would be approved by March 2024. But when it came to May 2024, we still hadn't received any confirmation from VFSC, and that was after we purchased PI insurance, submitted all relevant policies for fund management and all requirements of VFSC."

"Amiran never showed us any signed license application form or email correspondence between them and local provider or VFSC in regards of our license progress," added the Informant.

The most recent move from B2B Hub was another promise, when Amiran mentioned that the bank account would be finalized by the end of August 2024. But then again, at the time of writing, there hasn't been anything provided yet, nor is there any notification regarding the current license progress.

According to the Informant, to set up a local bank account is a task that should have been simple but still remains incomplete months later. "After liaising with the National Bank of Vanuatu, they told us that Amiran hadn't provided the necessary documents since September," he added.

E-mail sent from local bank, still asking for required documents, while time stamp shows it was in October

A One-Man Show?

Broker A firmly believes that B2B Hub is evidently nothing but a one-man operation, with Amiran being the sole point of contact for anything related to the VFSC license. His subordinates, including his sales team, had no access to vital documents or local contacts in Vanuatu whatsoever.

The Informant described how Amiran's control over every aspect of the operation contributed to the prolonged delays and lack of accountability.

"We also found out that other brokers had similar experiences, including one who waited over a year for a Comoros license that should have been issued within two months," the Informant noted.

Broker A' experience with B2B Hub raises serious questions about the company's legitimacy. Amiran Azaladze, the sole figure behind the operation, has repeatedly failed to deliver on his promises, leaving Broker A and other clients with nothing to show for their investment.

As the Broker A team reflected on the ordeal, the Informant warned other companies to be cautious when selecting a licensing consultant. "He's offering services he can't provide. In hindsight, it's clear we should have seen the signs earlier," he said.

At the time of writing, there has been no response from Amiran since Fazzaco sent him questions for the interview

Fazzaco has also sent messages to Amiran on WhatsApp. He agreed to have an interview with us so we could hear their side of the story, but there has been no further answers from him at the time of writing. However, we at Fazzaco will keep a close eye on this event and anyone who would like to share their exclusive information, please write to whistleblower@fazzaco.com to contact us.