The Securities and Exchange Commission (SEC) has urged Nigerians to be vigilant against online investment platforms that promise unrealistic financial returns.
Emomotimi Agama, Director General of the Commission, gave the warning on Tuesday during an interview on Channels Television’s Business Morning. He noted that genuine investment companies must be licensed by the SEC, not just registered with the Corporate Affairs Commission.
“If it looks too good to be true, then it is not true,” Agama said, stressing that Nigerians should always verify the legitimacy of investment schemes.
According to him, many fraudulent operators entice unsuspecting victims with promises of huge profits. He revealed that the Commission has already issued more than 85 advisories against illegal investment firms.
Agama also referred to Section 3(a) of the Investment and Securities Act 2025, which empowers the SEC to regulate activities within Nigeria’s capital market. He advised Nigerians to confirm the registration status of any investment firm through SEC offices in Abuja, Lagos, Kano, and Port Harcourt, or via the Commission’s soon-to-be-launched digital platforms.
“When people promise what is ordinarily impossible, that is fraud. Nigerians must ask questions and verify with us,” he added.
His caution comes months after the Economic and Financial Crimes Commission (EFCC) released a list of 58 unregistered Ponzi scheme operators, including Wales Kingdom Capital, MBA Trading & Capital Investment Limited, Ovaioza Farm Produce Storage Limited, and Chinmark Homes. While some of these operators have been convicted or pleaded guilty, others are still standing trial.
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