The Securities and Exchange Commission (SEC) has issued a public warning against engaging with a company identified as Forsman & Bodenfors Ltd, also known as F&B, describing its operations in Nigeria as fraudulent and unauthorised.

In a statement released on Monday, the regulatory body said the promoters of the company falsely claim affiliation with a Swedish advertising firm bearing the same name. According to the SEC, this claim is being used as a cover to lure unsuspecting Nigerians into a scheme involving fake job offers and the collection of money for non-existent employment placements.

“The attention of the Commission has been drawn to the activities of FORSMAN & BODENFORS LTD, also known as F\&B, which is paraded by its promoters as the Nigerian Branch of a Swedish advertising company bearing that name, with obvious criminal intent,” the SEC said.

The statement explained that promoters of the entity have been offering individuals automatic employment as a reward for recruiting others, who are in turn required to pay various amounts of money to secure positions. Preliminary findings, according to the Commission, show that the company has been actively promoted on social media and online forums and exhibits traits commonly associated with Ponzi schemes.

The SEC clarified that the firm is not registered with the Commission and lacks the legal authority to solicit funds from the public or operate within the Nigerian capital market.

“FORSMAN & BODENFORS LTD is NOT REGISTERED by the Commission nor authorised to solicit funds from the public or to operate in any capacity in the Nigerian capital market,” the statement read.

The Commission cautioned Nigerians to avoid dealings with the firm or its representatives, warning of the risk of financial loss due to the nature of its operations. It also urged the public to verify the regulatory status of any company offering investment or employment opportunities through the SEC’s official channels before engaging in transactions.