FSCA Warns Against 15 Unauthorized Companies or Individuals

The Financial Sector Conduct Authority (FSCA) in South Africa recently warned the public to be cautious when conducting financial services related business with 15 new firms or individuals that are soliciting customers in South Africa jurisdiction without any licenses or are fraudulent authorized companies.

1. WhatsApp account impersonating INN8 Invest

The FSCA received information from STANLIB Wealth Management (Pty) Limited (STANLIB) (trademark registered as INN8) that a WhatsApp account was using their company name to offer the proposed investments and operations of INN8 Invest and making use of the INN8 Invest logo.

The FSCA was also informed that the WhatsApp account was promising to double clients' money in 24 hours with the use of forged screenshots of people getting paid after investing with INN8 Invest. It was furthermore confirmed that the representative that spoke to one of STANLIB's clients is Tumelo Khoza who is using the profile picture of one of INN8 Invest's Representatives (Lukhuxolo Mabece).

STANLIB has confirmed to the FSCA that it does not have any affiliation with Tumelo Khoza/ Muzi Zone nor utilize WhatsApp as a platform to render any intermediary services. 

2. Delos Management

The FSCA received information that Delos Management offered to trade in forex on behalf of members of the public. Without commenting on the business of Delos Management, the FSCA points out that entities offering to trade in financial products on behalf of South African citizens are required to be authorized by the FSCA. Delos Management is not authorized by the FSCA. 

3. Branson Capital (Pty) Ltd and Brandon Naicker (Pty) Ltd

The FSCA advises the public to act with caution when conducting financial services business with Branson Capital (Pty) Ltd (Branson Capital) with Registration No. 2018/473820/07 and Brandon Naicker (Pty) Ltd (Brandon Naicker) with Registration No. 2020/437875/07 (the investigated parties). 

The regulator reasonably suspects that the investigated parties may be conducting unregistered financial services and/or the business of a bank by taking deposits from members of the public. The investigated parties are not authorized to render any financial services in terms of any financial sector laws and Branson Capital is not registered as a bank in terms of the Banks Act No. 94 of 1990.

4. Entity impersonating BI ME (Pty) Ltd

The FSCA would like to warn the public against doing any financial services business with an entity trading as Tabeza Trading with the domain https://tabezatrading.co.za/food-trailers/ who are using the BI ME (Pty) Ltd brand, company registration and FSP number for their operation.

Tabeza Trading is not authorized in terms of the Financial Advisory and Intermediary Services Act, 2002 (FAIS Act) to render any financial advice and intermediary services. BI ME (Pty) Ltd, an authorized financial services provider (FSP number 52534) has confirmed that it is not linked in any way with Tabeza Trading.

5. Lereko Brokers (Pty) Ltd.

The FSCA received complaints that Lereko Brokers (Pty) Limited(Lereko) may be issuing guarantee insurance policies to members of the public that were possibly not underwritten by an authorized short-term insurer. Without commenting on the business of Lereko or its products and services, the FSCA points out that for a company to issue insurance policies in South Africa, it must be authorized by the Prudential Authority (the PA).

6. Acqumen Fund Limited/Acqumen Group

The FSCA received information that Acqumen Fund Limited offered investments to members of the public. Without commenting on the business of Acqumen Fund Limited, the FSCA points out that entities offering investments in financial products on behalf of South African citizens and/or within South Africa are required to be authorized by the FSCA. 

Acqumen Fund Limited is not authorized by the FSCA. 

7. Kozoo Forex

The FSCA noticed that Kozoo Forex offered to trade in forex and other financial instruments on behalf of members of the public. Kozoo FX is not licensed in terms of any financial sector law to provide financial products or financial services. 

The FSCA points out that, for a person to offer financial services in South Africa, they must be licensed to do so by the FSCA.

8. GS Partners

The FSCA warns the public to exercise caution when dealing with GS Partners. 

It has come to the attention of the FSCA that GS Partners also known as GSP or Gold Standard Partners (GS Partners) are soliciting investments in South Africa. The FSCA wishes to inform the public that several foreign jurisdictions have published warnings relating to GS Partners. 

GS Partners is not licensed under any financial sector law to provide financial products or financial services in South Africa. 

9. Finco World (Pty) Ltd

The FSCA received information that Finco World (Pty) Ltd (Finco World), Registration No. 2017/458333/07, also known as SPV 1976 (Pty) Ltd, offered investments to members of the public and promised unrealistic returns on the investments. The FSCA reasonably suspects that Finco World may be conducting unregistered financial services. 

Finco World is not authorized to render any financial advisory and/or intermediary services in terms of the Financial Advisory and Intermediary Services Act No. 37 of 2002.

10. FX Squad

The FSCA warns the public to act with caution when conducting financial services business with FX Squad (not registered as a company) and Mr Petrus Rasmus Erasmus, known as Pierre (Erasmus) - together referred to as (the investigated parties).

The FSCA received information that the investigated parties offered to trade in forex on behalf of the members of the public. The FSCA suspects that the investigated parties may be conducting unregistered financial services and/or the business of a bank by taking deposits from members of the public. 

The investigated parties are not authorized to render any financial advisory and/or intermediary services in terms of the Financial Advisory and Intermediary Services Act No. 37 of 2002. The investigated parties are also not registered as banks in terms of the Banks Act No. 94 of 1990.

11. Individuals impersonating MitonOptimal (Pty) Ltd

The FSCA warns the public against doing any financial services related business with a group of individuals that are impersonating the MitonOptimal (Pty) Ltd brand to defraud unsuspecting financial customers on Telegram.

It has come to the attention of the FSCA that these individuals target their victims on social media platform Telegram, falsely claiming to be agents or representatives of MitonOptimal (Pty) Ltd, which is an authorised financial services provider (FSP number 28160). These individuals impersonate the representatives of MitonOptimal (Pty) Ltd to get investment funds from people seeking trading opportunities and profits.

MitonOptimal (Pty) Ltd confirms they are not associated with the impersonators and that these scammers are using their brand name, logos and trademark without permission to offer investment opportunities and dupe the public. MitonOptimal (Pty) Ltd also confirms that they do not have a Telegram account.

12. Ever Grow Matrix (Pty) Ltd

The FSCA received information that Ever Grow Matrix (Pty) Ltd (Ever Grow invites members of the public to invest R300 in its scheme. When an investor joins, they are obliged to recruit and introduce two new members to the scheme to progress. The activities of Ever Grow appear to have the characteristics of a pyramid scheme. Ever Grow has also instructed members of the public to deposit their funds into the bank account of SAMMAG (Pty) Ltd (SAMMAG). 

The FSCA would like to reiterate that pyramid schemes are illegal and deem it necessary in the interest of the public to issue this warning. The FSCA has referred the matter to other agencies that have the mandate to deal with pyramid schemes.

13. Mr Bongumusa Nkabinde and BossFx

The FSCA warns the public to be cautious when conducting financial services business with Mr Bongumusa Nkabinde (Nkabinde), who may also be operating under the alias BossFx.

It has come to the attention of the FSCA that Nkabinde and/or BossFx offered to trade in forex on behalf of members of the public. It is noteworthy and of concern that Nkabinde and/or BossFx promise unrealistic returns.

The regulator can confirm that Nkabinde and/or BossFx is not licenced or registered under any legislation administered by the FSCA or the Prudential Authority.

14. Immediate Matrix

The FSCA noticed that Immediate Matrix may be providing financial services to members of the public without being authorized to do so. 

Immediate Matrix has used images of well-known individuals, such as Mr Elon Musk and Mr Patrice Motsepe, as part of its advertising and marketing campaign. The FSCA suspects that Immediate Matrixare using the images of these well-known personalities without their consent (a so-called deepfake). 

Without commenting on the business of Immediate Matrix, the FSCA points out that entities offering investments in financial products to South African citizens and/or within South Africa are required to be authorized by the FSCA. Immediate Matrix is not authorized in terms of any financial sector law to provide financial products or render financial services.

15. Mr. Zwelibanzi Sibiya 

The FSCA received information from Fedgroup Asset Management (Pty) Ltd (Fedgroup), a Financial Services Provider that is properly authorized by the FSCA with FSP number 665, that a certain Mr. Zwelibanzi Sibiya (Sibiya) is claiming to be its employee and using its (Fedgroup) name to invite members of the public via a WhatsApp group, to join an investment scheme. 

Fedgroup has confirmed that it is not associated with Sibiya or his WhatsApp group. Sibiya is not authorized in terms of any financial sector law to render any financial advice and intermediary services.