SEC alerts public to fake online investment scheme, ‘MMM’
The Securities and Exchange Commission (SEC) has issued a public alert on a fake online investment scheme tagged, ‘MMM Federal Republic of Nigeria (nigeria.mmm.net).
According to the Commission, the platform has embarked on an aggressive online media campaign to lure the investing public to participate in what it called, ‘mutual aid financial network’ with a monthly investment return of 30 per cent.
The Commission explained that the operation of the investment scheme has no tangible business model hence it is a ‘ponzi scheme’ where returns are paid from other people’s invested sum.
SEC noted that the operations of the online scheme is not registered by the Commission.
“ The general public is hereby advised to distance themselves from this online scheme. Please note that anyone that subscribes to this illegal activity does so at his/her own risk.
“ The platform has embarked on an aggressive online media campaign to lure the investing public to participate in what it called ‘mutual aid financial network’ with a monthly investment return of 30 per cent.”
Similarly, SEC also notified the public on the activities of a stockbroker at Zink Avenue, Opposite Eke Market, Awka, Anambra State, who engages in capital market activities without registration within Anambra State and its environment.
“Section 38(1) of the Investments and Securities Act, 2007 requires any person who intends to operate as a professional in the capital market or carry on securities business to be registered by the Commission before engaging in such activities.
“It is therefore illegal to carry on any kind of capital market business without registration. In view of the above, the general public is hereby warned that any person dealing with the within named person in any capital market related business is doing so at his/her own risk.”