The Securities and Exchange Commission of Pakistan (SECP) has warned citizens about illegal online investment schemes, which are luring the public with promises of unusual and misleading returns.
SECP regularly warns the general public to be cautious of such illegal investment and trading platforms, which are usually advertised through WhatsApp groups. These platforms often fraudulently misuse the names of licensed brokers, reputable institutions, or well-known professionals.
The Commission has noted a recurring trend where such unauthorized activities are often advertised through social media applications like WhatsApp. These schemes often fraudulently misuse the names of reputable institutions, licensed brokers, or well-known professionals to appear legitimate.
To protect their capital, the public is advised to transact only with securities and futures brokers licensed by the SECP. Investors should verify the credentials of any brokerage firm by checking the official lists available on the websites of the Pakistan Stock Exchange and the Pakistan Mercantile Exchange.
The SECP strongly advises investors to remain vigilant, stay away from fraudulent platforms, and verify the legality of any investment service before committing funds or sharing personal information.
A stern warning has been issued to the public not to deposit any funds or make any investments with individuals or groups promoting “Hillhouse Capital / Hillhouse Investment,” “S-169 Wharton,” or any other illegal platform of a similar nature.