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The Director General (DG) of the Securities and Exchange Commission (SEC), Emomotimi Agama, has warned Nigerians to exercise caution regarding online platforms that promise unrealistic financial returns.
Agama stated on Tuesday, September 2, that registration with the SEC remains the primary indicator of legitimacy for any investment scheme.
“If it is too good to be true, then it is not true. Nigerians must always verify whether an investment firm is licensed by the SEC, not just registered with the Corporate Affairs Commission,” he warned.
He said that many fraudulent schemes lure victims with promises of outrageous profits, noting that the Commission has issued more than 85 advisories against such illegal operators.
In accordance with Section 3(a) of the Investment and Securities Act 2025, which grants the SEC the authority to regulate capital market activities in Nigeria, he has advised the public to verify the legitimacy of investment firms.
He noted that this can be done by contacting the SEC’s offices in Abuja, Lagos, Kano, and Port Harcourt, or through the commission’s new digital platforms.
“When people promise what is ordinarily impossible, that is fraud. Nigerians must ask questions and verify with us,” he said.
His warning follows a March alert by the Economic and Financial Crimes Commission (EFCC), which named 58 unregistered Ponzi scheme operators, including Wales Kingdom Capital, MBA Trading & Capital Investment Limited, Ovaioza Farm Produce Storage Limited, and Chinmark Homes, among others.
The EFCC said while some have been convicted or pleaded guilty, many others are still facing trial.
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