The Securities and Exchange Commission (SEC) has urged Nigerians to stay away from the new reigning Ponzi scheme, Loom Money Nigeria in the country.
2 years after the popular Mavrodi Mundial Moneybox (MMM) Ponzi scheme crashed with several cash lost, Nigerians are beginning to patronize Loom, another scheme that tells you that you will be given astonishing returns on investment.
However, while discussing at a recent press conference, the Acting Executive Commissioner (Operations) of the SEC, Isyaku Tilde tld everyone who cares to listen to stay away.
His words, “We are aware of the activities of an online investment scheme tagged ‘Loom Money Nigeria’. The platform has embarked on an aggressive online media campaign on Facebook and WhatsApp to lure the investing public to participate by joining various Loom WhatsApp groups to invest N1000 and N13,000 and get as much as 8 times the value of the investment in 48 hours.
“Unlike MMM that had a website and the promoter known, the people promoting Loom are not yet known and this pyramid scheme operates through closed groups mainly on Facebook and WhatsApp.
“If it were a local Ponzi scheme with known offices, it would be very easy for the Commission to seal their offices and freeze their accounts.
“We therefore wish to notify the investing public that the operation of this investment scheme has no tangible business model hence it’s a Ponzi scheme, where returns are paid from other people’s invested sum. Also, its operation is not registered by the Commission.
“Please note that anyone that subscribes to this illegal activity does so at their own risk.”
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