The Securities and Exchange Commission (SEC) Nigeria on Wednesday warned the investing public not to deal with unregistered investment schemes, including Silverkuun Investment Cooperative Society/Silverkuun Limited due to the illegality of their schemes.
The capital market regulatory commission in a circular confirmed that it had been alerted of the activities of the entities, which falsely presented themselves as investment advisers and fund managers in the Nigerian capital market.
The SEC clarified: “The attention of the Securities and Exchange Commission (“the Commission”) has been drawn to the activities of Silverkuun Investment Cooperative Society/Silverkuun Limited which holds itself out as an Investment Adviser/Fund Manager.
“The Commission hereby informs the public that Silverkuun Investment Cooperative Society/Silverkuun Limited is NOT REGISTERED to operate in any capacity in the Nigerian capital market.
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“Accordingly, the SEC advised the public to refrain from engaging with Silverkuun Investment Cooperative Society/Silverkuun Limited or its representatives in respect of any business in the Nigerian capital market.
“The Commission uses this medium to reiterate that transacting in the Nigerian capital market with unregistered and unregulated entities exposes investors to financial risk including fraud and potential loss of investment. The investing public is therefore reminded to verify the status of companies and entities offering investment opportunities on the Commission’s dedicated portal – www.sec.gov.ng/cmos, before transacting with them”, the SEC added.
It would be recalled that Director-General of the commission, Dr. Emomotimi Agama, had recently warned that the SEC would not hesitate to shut down the operations of such unregistered entities while also ensuring that the promoters are made to face the full weight of the law.
He said: “We will shut down their operations and the promoters will be made to face the full weight of the law.
“In a major reform, ISA 2025 officially brings digital assets under the SEC’s regulatory purview, defining them as securities and mandating registration for all virtual asset service providers (VASPs) and digital asset exchanges. This development aims to close the regulatory vacuum that has allowed many Ponzi-style platforms to thrive under the guise of cryptocurrency and digital finance”, Agama added
Similarly, he stressed the Commission’s education-focused strategy to combat fraud through podcasts, digital campaigns, and the introduction of capital market literacy in schools and universities with a view to equipping Nigerians with the knowledge to detect and avoid dubious investments.
