FSCA Warns Against 31 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 31 new firms or individuals that are soliciting customers in South Africa jurisdiction without any licenses or are fraudulent authorized companies.

1. Moneyweb-Invest

The FSCA received information that Moneyweb-Invest uses online platforms to offer clients the opportunity to invest in one of three plans, promising unrealistic returns within three days. This is a clear indication that the offering is not legitimate.

In addition, Moneyweb-Invest, on its website, fraudulently associates itself with Moneyweb (Pty) Ltd (Moneyweb), the financial media group with Moneyweb.co.za, as its flagship internet brand. This is false.

2. WhatsApp Group purporting to be Ashburton Investments

The FSCA received information from Ashburton Investments (Ashburton), a registered Financial Services Provider (FSP number 40169) that they were informed of a WhatsApp group using their company name to invite the public to join an investment related scheme. Upon joining the WhatsApp group, the public is then prompted to click on a link, complete a form and asked to transfer funds.

Ashburton has confirmed to the FSCA, that it is not associated with the WhatsApp group, and is further not encouraging the public to invest in or transfer any funds on the platform.

3. Presidential Blues FX

The FSCA warns the public to act with caution when conducting financial services related business with Presidential Blues FX (Presidential).

The FSCA received information that Presidential is soliciting funds from members of the public and promising them unrealistic returns. Presidential is not authorised in terms of any financial sector law to render financial products or services.

4. Green Capitalz Pty Ltd

The FSCA warns the public against conducting any financial services related business with Green Capitalz (Pty) Ltd (Green Capitalz), as it is suspected to be rendering financial services without a licence.

On its website it claims to be licensed and regulated by the FSCA in South Africa, with Financial Services Provider (FSP number - 46886). It also states that its subsidiary, Pro-marketing Ltd is an authorised FSP – number 46886, licensed and regulated by the FSCA in the Commonwealth of Dominica.

The FSCA can confirm that FSP number 46886 quoted by Green Capitalz on their website, belongs to Marnic Financial Consultants (Pty) Ltd. Marnic Financial Consultants (Pty) Ltd has further confirmed to the FSCA that they are not associated with Green Capitalz in any way.

5. Group of entities impersonating JSE Private Placement (Pty) Ltd

The FSCA warns the public against doing any financial services related business with K2020052565 (South Africa); SPCG INC; and Nkosana Fanny Stanford Shongwe (group of entities) as they are impersonating JSE Private Placement (JPP), an authorised Financial Services Provider (FSP number 51709), with the intention of defrauding unsuspecting members of the public.

It has come to the attention of the FSCA that this group of entities has been making unauthorised use of JPP's registered trademarks, purporting to be representatives of JPP.

They also claim to be an authorised FSP, disseminating and using documentation that falsely appears to be from JPP.

JPP has confirmed that they are in no way associated with the group of entities.

6. Individuals purporting to be from Rezco Asset Management (Pty) Ltd

The FSCA received information from Rezco Asset Management (Pty) Ltd (Rezco), a registered Financial Services Provider (FSP number 702) that they had been made aware of a fraudulent scheme being run on Telegram, where their company logo and name is being illegally used to lure the South African public into enquiring how to set up an investment account with them.

Rezco has confirmed that it is in no way associated with the individuals or group and furthermore, is not encouraging the public to set up investment accounts on Telegram.

Rezco has also confirmed that it has reported the matter to Telegram.

7. Autospot Financial Services and Easyfin Financial Brokers

The FSCA warns the public to be cautious when conducting financial services business with Autospot Financial Services (Autospot) and Easyfin Financial Services (Easyfin).

It has come to the attention of the FSCA that Autospot claimed to be an authorised financial services provider (FSP), by fraudulently using the FSP number of Chilli Blu Consulting's (Pty) Ltd (Chilli Blu), an authorised FSP with FSP No. 47343. Autospot's subsidiary Easyfin

has similarly fraudulently used the company registration number of Iemas Insurance Brokers (Pty) Ltd (Iemas), an authorised FSP with FSP No. 47563. Autospot and Easyfin may be offering financial services to members of the public, whilst fraudulently making use of the details of authorised FSPs. Both Chilli Blu and Iemas have denied any relationship with Autospot and Easyfin.

8. Super Forex Investments (Pty) Ltd.

The FSCA received a complaint that Super Forex Investments (Super Forex) may be offering financial services to members of the public. Super Forex offered investment opportunities with a promise of unrealistically high returns, via the WhatsApp social media platform.

Super Forex is not licensed in terms of any financial sector law to provide any financial product or financial service.

9. A criminal syndicate claiming to be associated with Anchor Capital (Pty) Ltd

The FSCA would like to warn the public to not deal with the syndicate operating on WhatsApp claiming to be associated with Anchor Capital (Pty) Ltd (Anchor), an authorised Financial Services Provider (FSP Number 39834).

This syndicate is using Anchor's logo and images to impersonate its employees and offer fraudulent investment opportunities, soliciting money from potential investors.

The FSCA was informed that this syndicate is requesting members of the public to make investments with promises of high returns. Anchor has confirmed that they are in no way linked to the.

10. WhatsApp Group impersonating Emperor Asset Management (PTY) Ltd

The FSCA warns the public against a fraudulent and malicious entity or individuals impersonating Emperor Asset Management (PTY) Ltd (Emperor), an authorised Financial Service Provider (FSP number 44978).

The individuals or entity in question are believed to be using the WhatsApp platform to solicit investments from the public and promising grossly inflated returns across various investment plans.

Emperor has confirmed that it does not have any affiliation with the individuals nor the WhatsApp group.

11. WhatsApp group falsely using Aluma Capital (Pty) Ltd's logo

The FSCA warns the public to be cautious of a scam being run on WhatsApp by a group using the name Aluma Private Equity Fund 2, impersonating Aluma Capital (Pty) Ltd (Aluma Capital) through the use of their business logo. The WhatsApp group is advertising a Ponzi Scheme in order to lure potential clients.

The FSCA received confirmation from Aluma Capital a licensed Financial Services Provider (FSP number 46449) that the registration number, cell phone numbers and the banking details used by the impersonators are not theirs. Aluma Capital has further confirmed that it did not give Aluma Private Equity Fund 2 the right to use their logo to solicit investments from the members of the public.

12. Telegram group falsely using Fairtree Asset Management (Pty) Ltd's name

The FSCA warns the public against dealing with a Telegram group using Fairtree Asset Management (Pty) Ltd's (Fairtree) name.

The Telegram group is unlawfully using the name of Fairtree, a legitimate Financial Services Provider, (FSP number 25917) to defraud prospective clients into investing in cryptocurrency, and promising unrealistic high returns. Fairtree has confirmed that it is not related or affiliated to the group in any way.

13. Individuals purporting to be from Julius Baer South Africa (Pty) Ltd

The FSCA warns the public to be cautious of a WhatsApp and Facebook scam run by individuals purporting to be from Julius Baer South Africa (Pty) Ltd (Julius Baer).

The FSCA received information from Julius Baer, a registered Financial Services Provider (FSP number 49273) that they had been made aware of a fraudulent scheme being run on Facebook and WhatsApp, where potential loans are being offered to the South African public using their name.

Julius Baer has confirmed that it does not offer any loans in South Africa using third parties and is in no way part of the scam.

14. MyWealthinvestment.com

It has come to the attention of the FSCA that MyWealthinvestment.com is fraudulently presenting itself to be a financial services provider (FSP). MyWealthinvestment.com has cloned the website (www.mywealthinvestments.co.za) of an authorised FSP, Regenesys Investment Fund (Pty) Ltd T/A MyWealth Investments (MyWealth Investments) (FSP number 45214) and claims to be associated with it.

MyWealth Investments has denied any association with MyWealthinvestment.com.

15. Protrades and individuals impersonating the Authority

The FSCA warns the public against Protrades and individuals claiming to be representatives of the FSCA.

The regulator has been made aware of emails and documents being shared with individuals, from the email address help@za-fsca.com, under the guise of these emails and documents emanating from the Authority, verifying the legitimacy of Protrades, promising to multiply their initial investment within a few hours. The FSCA points out that it is not realistic to claim that an investment can be “multiplied within a few hours.”

The FSCA wishes to inform the public that Protrades and Phyllis Raphulu are not authorised as financial services providers to provide financial advisory and intermediary services. In addition, neither of these parties are in any manner linked to the FSCA or employed by the FSCA.

16. Individual impersonating Nano Technologies (Pty) Ltd FSP

The FSCA received information that there are persons who are fraudulently offering financial services to the public, impersonating Nano Technologies (Pty) Ltd (Nano Technologies) and using FSP number 17245. The FSCA confirms that Nano Technology is a legitimate private company duly incorporated in terms of the laws of the Republic of South Africa but is not authorized as an FSP nor is it a representative of any FSP.

The FSCA further confirms that no person has been authorised under FSP number 17245 to provide financial services.

17. Global Booming Investment (Pty) Ltd

It has come to the attention of the FSCA that Global Booming Investment (Pty) Ltd (Global) might be conducting unauthorised financial services to members of the public by offering to trade shares on their behalf.

The FSCA informs the public that Global is not authorised by the FSCA to provide any financial product or services.

18. Aquila Investment Management (Pty) Ltd (AIM) represented by Mr Cornelius Jansen De Jager (De Jager) and Mr Martin Van Staden (Van Staden)

The FSCA warns the public against doing any financial services business with AIM, De Jager and Van Staden. AIM, De Jager and Van Staden are not authorised to provide financial products or services in terms of any financial sector laws.

The FSCA received a complaint alleging that AIM received funds from members of the public for forex trading purposes and is failing to pay investment returns to the investors.

19. Lyon Assets

It has come to the attention of the FSCA that Lyon Assets may have solicited deposits from members of the public for the purpose of trading in forex.

The regulator informs the public that Lyon Assets is not authorised as an FSP in terms of the Financial Advisory and Intermediary Services (FAIS) Act to provide financial advisory and intermediary services.

20. United African Stokvel

The FSCA suspects United African Stokvel (United African) of conducting unauthorised business and breaching certain financial sector laws. United African is not authorised to provide any financial products or financial services.

United African has made claims on social media that it has applied for a financial services provider license. The FSCA records that it has not received such an application.

21. Empire Profit Machines

The FSCA warns the public to be cautious when conducting financial services related business with Empire Profit Machines for suspected breaches of financial sector laws and providing unauthorised financial services.

It has come to the attention of the FSCA that Empire Profit Machines displays a document on its website purporting to be a Financial Services Board (the predecessor of FSCA) licence, with a defunct financial services provider (FSP) number 50321.

The FSCA informs the public that Empire Profit Machines is not authorised as an FSP in terms of the Financial Advisory and Intermediary Services (FAIS) Act to provide any financial advisory and intermediary services。

22. Cash Team Trading

It has come to the attention of the FSCA that Cash Team Trading may be offering financial services to members of the public. Cash Team Trading is reported to offer investment opportunities to the public, promising unrealistically high returns. Without commenting on the business of Cash Team Trading or its products and services, the FSCA points out that for a company to offer financial products or services in South Africa, it must be authorised by the FSCA.

The regulator can confirm that Cash Team Trading is not authorised or registered under any legislation administered by the FSCA.

23. Trading.com

The FSCA received information that persons may be rendering financial services by fraudulently using the name of Trading.com.

The Authority has established that Trading.com is the trading name for UK-based Trading Point of Financial Instruments UK Limited (Trading Point). Trading Point confirmed that it did not conduct business outside the UK and distanced itself from the persons using its trading name to provide financial services in South Africa.

Trading Point is not authorized or registered under any legislation administered by the FSCA.

24. Solitix FX (Pty) Ltd and Mr Kevin Banks

The FSCA received information that Solitix FX (Pty) Ltd (Solitix FX) and Mr Kevin Banks (Mr Banks) offer to trade in forex on behalf of members of the public.

The regulator warns that Solitix FX and Mr Banks are not licensed by the FSCA.

25. XPRESTRADE

The FSCA warns the public to be cautious when doing any financial services business with XPRESTRADE, which is an international online Forex, Stocks, Indices, Commodities, CFDs and Cryptocurrency trading platform registered in the Marshall Islands.

The FSCA received information that clients of XPRESTRADE are being misled into paying additional fees before their withdrawal requests can be processed by XPRESTRADE. Despite paying these additional fees, clients do not receive their funds.

It has also come to the attention of the FSCA that XPRESTRADE may have fraudulently issued contractual agreements to clients in the name of the FSCA.

The regulator warns that XPRESTRADE is not authorised by the FSCA to provide financial services.

26. Zhen-Dex Trading

The FSCA received information that Zhen-Dex Trading (Zhen-Dex) may be operating an unauthorised investment scheme that has been promoted on Facebook.

It has come to the attention of the FSCA that several individuals have been promoting Zhen-Dex on Facebook, claiming to have been paid unrealistic returns from their investments with Zhen-Dex.

The regulator warns that Zhen-Dex is not licensed or in any way authorised by the FSCA.

27. MultiFX Options and Digital Daily Return

The FSCA warns the public that MultiFX Options (MultiFX) and Digital Daily Return (DDR) are not authorised by the FSCA to provide financial products or financial services, and are therefore not authorised to sell investments or make recommendations in this regard.

It has come to the attention of the FSCA that MultiFX, DDR and its associates solicit crypto asset investments from the public using social media platforms. They are using the name of prominent business leader Barry Silbert, the founder and CEO of Digital Currency Group (DCG), to lure investors in an unauthorised manner.

Luno has confirmed that Silbert does not invite members of the public to transfer funds for investment purposes, nor does he engage in any trading activities on behalf of the public.

28. Forex Private Jet Injectors and Kabelo Emanuel Mogale

The FSCA warns the public to be cautious when conducting financial services business with Forex Private Jet Injectors (FPJI) and Mr Kabelo Emanuel Mogale (Mogale).

Mogale and FPJI provide trading signals in respect of forex to members of the public through social media platforms. The FSCA points out that Mogale and FPJI are not authorised in terms of the Financial Advisory and Intermediary Services Act, 2002 (FAIS Act), to render financial advice and intermediary services.

29. Facebook page impersonating Itransact Fund Managers (RF) (Pty) Ltd

The FSCA warns the public against a fraudulent and malicious entity or individual(s) impersonating the Itransact Fund Managers (RF) (Pty) Ltd (“IFM”), an authorised Manager of Collective Investment Schemes.

The individual(s) or entity in question are believed to be using the Facebook social media platform to solicit investments from the public.

The IFM does not have any affiliation with the individual(s) nor the Facebook page and confirms that only the contact details on the IFM's website should be used for any investment or general queries.

30. Individual impersonating FSCA Commissioner Unathi Kamlana

The FSCA warns the public to be cautious regarding unscrupulous individuals impersonating FSCA Commissioner Mr Unathi Kamlana on the WhatsApp messaging system and other social media platform, in what appears to be a “clone scam” where a scamming entity assumes the identity of a legitimate business or individual to defraud the public.

The FSCA received an alert from a member of the public regarding communication from an individual(s) purporting to be Mr Unathi Kamlana, the FSCA Commissioner. In the communication, the impersonator attempts to convey the outcome of what seems to be a

legitimate ongoing investigation into some sensitive transactions regarding the member of the public with a registered financial service provider (FSP). Furthermore, the impersonator appears to offer a reimbursement to the member of the public, while soliciting a settlement payment to themselves.

The FSCA and the Commissioner hereby confirm that they do not conduct any business on the WhatsApp messaging platform.

31. QZ Asset Management Customer Service Consultants (Pty) Ltd

The FSCA has received information that QZ Asset Management Customer Service Consultants (Pty) Ltd (QZ Asset Management) is linked to a Chinese based company, Qianze Asset Management Limited (QZ Asset Management China).

QZ Asset Management China confirmed that QZ Asset Management has been providing customer services to its South African clients. This included administrative support such as client liaison and account-related services.

The FSCA has received numerous complaints against QZ Asset Management and its multi-level marketing scheme, related to the website of QZ Asset Management China being taken down and clients of QZ Asset Management's not being able to withdraw their funds.

The FSCA is aware that South African clients have invested into the scheme. The regulator can confirm that QZ Asset Management is not authorised or registered under any legislation administered by the FSCA or Prudential Authority.