The Director General, Securities and Exchange Commission, Mr. Lamido Yuguda reveal how the commission is fighting to rid the capital market of Ponzi schemes. Kayode Tokede captures some of the excerpts at the just concluded Second quarter (Q2) Capital Market Committing (CMC) held virtually.
What is the Commission doing to stem the tide of Ponzi schemes?
The SEC has been fighting a serious war against Ponzi schemes, we have been alerting people. We have said that investors should only deal with registered operators that have the registration of the Commission, we have their list on the SEC website and we have always said that if you go to an operator or when an operator approaches you, you must confirm that he is a licensed operator with the SEC. We have our numbers on how to reach our offices in the zones and we have done a lot of sensitizations in terms of seminars, webinars all in an effort to discourage people from going to Ponzi schemes. Unfortunately, a lot of people continue to patronize this Ponzi schemes, we have had cases that have been reported to us, our enforcement department and the police unit have been on many of these cases trying to resolve the cases that have been reported to us.
I will like to use this opportunity to say that it is not very difficult to recognize a Ponzi scheme and the people that go to Ponzi scheme many of them are probably aware that there is a type of risk that they are taking, because when somebody tells you that I will pay you…
