The Securities and Exchange Commission (SEC) has appealed to Nigerians not to invest in Ponzi schemes.
SEC is the federal government agency mandated to regulate and develop the Nigerian capital market.
Acting Director-General, SEC, Ms Mary Uduk, spoke on Wednesday in Port Harcourt, Rivers State, during a town hall meeting organised by SEC on current initiatives by the apex capital market regulator to enhance investor value.
The DG explained that the event was organized to protect shareholders and other investors from fraudsters and promoters of Ponzi schemes.
She said, “The purpose is also to ensure that you do not fall victim to the antics of fraudsters who purport to be able to double any amount of money you make available to them as investment value.
“These fraudsters or promoters of Ponzi schemes are the false prophets of the investment environment; they are the ill wind that blows no good and at whose sight you must flee.
“They are to be avoided. This is one message you must take home to family, friends, relations and acquaintances in order to save them from the agony of loss of their hard-earned money.”
She, however, assured that the newly introduced e-dividend regime would reduce constraints usually encountered by shareholders.