In an official statement issued by the SEC management on Wednesday, August 20, the regulator said, "The attention of the Securities and Exchange Commission (The Commission) has been drawn to the activities of GVEST Global, which holds itself out as an Investment Adviser/Fund Manager promoting unregistered investment schemes."
The Securities and Exchange Commission (SEC) has cautioned Nigerians against engaging with GVEST Global and its affiliated entities, describing their activities as unregistered and exhibiting “typical indicators and characteristics commonly associated with Ponzi schemes.”
In an official statement issued by the SEC management on Wednesday, August 20, the regulator said, "The attention of the Securities and Exchange Commission (The Commission) has been drawn to the activities of GVEST Global, which holds itself out as an Investment Adviser/Fund Manager promoting unregistered investment schemes."
The Commission further disclosed that GVEST GLOBAL operates under multiple names listed as GVEST (Alausa) Cooperative Multipurpose Limited, GVEST Investment Limited, Gtext Holdings."
The SEC clarified that none of these entities is licensed to solicit or manage investments in Nigeria.
According to the statement, GVEST Global has been aggressively promoted online.
"Investigations have revealed that GVEST Global has been actively promoted on social media platforms and online forums,” it said.
“Furthermore, its operations exhibit typical indicators and characteristics commonly associated with Ponzi schemes."
The regulator, therefore, urged Nigerians to steer clear of the firm.
"Accordingly, the public is advised to refrain from engaging with GVEST Global, its associated entities named above or their representatives in respect of any business in the Nigerian Capital Market, as any person who does so is at his own risk," it said.
The SEC also reminded investors to always verify companies on the Commission’s dedicated portal before making financial commitments.
Checks by SaharaReporters show that GVEST has been receiving significant online publicity, with several major media platforms (excluding SaharaReporters) promoting the scheme. However, it has now been flagged by the SEC.
In April, the Economic and Financial Crimes Commission (EFCC) announced that it had launched an investigation into an alleged N1.3 trillion fraud linked to the digital investment platform, CryptoBank Exchange (CBEX).
The CBEX scheme had collapsed, leaving thousands of investors stranded and unable to access their funds. The EFCC confirmed that it would work in collaboration with the International Criminal Police Organization (INTERPOL) to investigate the matter.
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