SEC Warns Nigerians Against Illegal Online Investment Platform
- The SEC has warned Nigerians against using Voya Investment Management to invest in the capital market
- The Commission denied issuing or endorsing any certificate displayed by the company
- SEC described the platform’s claims of regulatory approval as false and misleading
Oluwatobi Odeyinka is a business editor at Legit.ng, covering energy, the money market, technology and macroeconomic trends in Nigeria.
The Securities and Exchange Commission (SEC) has issued a public warning against an online investment platform operating under the name Voya Investment Management (VIM), stating that the company is not authorised to operate in Nigeria’s capital market.
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In a statement released by the Commission, the SEC said its attention was drawn to the activities of VIM, which operates through a website claiming to offer investment services in Nigerian stocks and other financial instruments.
According to the SEC, the operators of the platform have falsely presented themselves as being supervised by the Commission and have displayed a document described as a certificate of identity verification purportedly issued by the regulator.
The Commission clarified that Voya Investment Management is neither registered nor licensed by the SEC to conduct any form of capital market activity in Nigeria. It also stressed that the document being circulated by the company was not issued or endorsed by the Commission, noting that the SEC does not issue certificates of identity verification.
SEC debunks VIM's claim
The regulator described claims by VIM that it is approved or supervised by the Commission as false, misleading and fraudulent.
The SEC added that complaints received about the platform’s operations show clear signs of an illegal investment scheme aimed at deceiving unsuspecting members of the public.
Based on these findings, the Commission advised Nigerians to avoid any dealings with Voya Investment Management or its representatives, warning that anyone who chooses to engage with the platform does so at their own risk.
The SEC further reminded investors that transacting with unregistered entities in the Nigerian capital market exposes them to serious financial risks, including fraud and the possible loss of funds.
It also urged members of the public to always confirm the registration status of companies offering investment opportunities by using the Commission’s official verification portal before committing any money.
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SEC warns Nigerians against GWF
Legit.ng earlier reported that the SEC sent a warning message to Nigerians against engaging with Glorious Wealth Fund (GWF), another unregistered investment platform.
The commission described the claim by GWF that it got the SEC's approval or supervision as false, misleading, and fraudulent.
The regulatory body had exposed various investment platforms in recent times, while it advised Nigerians to verify investment platforms via the SEC portal and avoid dealing with the company to prevent financial loss.
SEC threatens crackdown on promoters of Ponzi schemes
Legit.ng earlier reported that the SEC said it was strengthening its partnership with major law enforcement agencies to investigate and prosecute Ponzi scheme operators and promoters in Nigeria.
The SEC threatened to freeze accounts and seal offices linked to illegal investment promoters, noting that Ponzi schemes damage confidence in the country’s financial system.
A senior official in the commission outlined common features of Ponzi schemes, noting that they depend on funds from new entrants to pay earlier investors.
Proofreading by Funmilayo Aremu, copy editor at Legit.ng.
Source: Legit.ng
