The Financial Sector Conduct Authority (FSCA) has warned the public to be cautious when conducting financial services business with Moneyweb-Invest and Presidential Blues FX, neither of which is authorised to provide financial products or render financial services.
The Authority said 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, the financial media group with Moneyweb.co.za, as its flagship internet brand. This is false.
Moneyweb-Invest was unavailable for comment.
The FSCA said it has received information that Presidential is soliciting funds from members of the public and promising them unrealistic returns.
The FSCA has also warned the public to be cautious when approached by a WhatsApp group run by individuals purporting to be from Ashburton Investments.
The FSCA received information from Ashburton, a registered financial services provider (No. 40169), that a WhatsApp group is using its company name to invite the public to join an investment-related scheme. Upon joining the WhatsApp group, people are 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 not encouraging the public to invest in or transfer any funds on the platform.
The FSCA says the public should be wary of such schemes being run on messaging and social media platforms.
Check before you invest
You should always check that an entity or individual is authorised by the FSCA to provide financial products and services, including making recommendations about how to invest.
It is also important to know what category of advice the person is registered to provide, as there are instances where companies or people are registered to provide basic advice for a low-risk product and offer advice on far more complex and risky products.
You can check whether an entity or person is authorised to provide financial products and services by:
Phoning 0800 110 443 (toll-free)
Conducting an online search for an authorised financial institution by licence category: https://www.fsca.co.za/Regulated%20Entities/Pages/List-Regulated-Entities-Persons.aspx
Conducting an online search for a financial institution that is an authorised FSP: https://www.fsca.co.za/Fais/Search_FSP.htm
