To safeguard earnings as well as the interest of general public, the Securities and Exchange Commission of Pakistan (SECP) has issued a public warning, cautioning people to refrain from investing in any fraudulent investment schemes that promise hefty profits and unrealistic incentives.
In a statement, the SECP clarified that mere registration of a company does not authorise it to solicit deposits from the general public or offer investment schemes.
“It has recently come to the knowledge of SECP that a few companies registered with the SECP such as Lasani Oil Traders Limited and New Lassani Chicks and Chicken Limited are engaged in unauthorised and dubious business activities,” it said.
“These companies have been attracting general public to invest in diesel and chickens by offering hefty unrealistic profits and returns.”
It is informed that these companies do not hold any licence to seek deposits from the public and all such activities are prohibited and restricted in terms of Section 84 read with Section 301 of the Companies Act 2017, it added.
The SECP said it is in the process of initiating legal action against the two companies.
Moreover, the SECP said it has received a number of complaints and queries regarding an entity namely B4U. “This entity is raising unauthorised deposits from the general public in the name of different investment plans,” it said.
“B4U Trades is not registered with the SECP, however, it is working through its different companies registered with the SECP and the SECP has already initiated legal proceedings.”
Published in The Express Tribune, December 31st, 2020.
Like Business on Facebook, follow @TribuneBiz on Twitter to stay informed and join in the conversation.
1732882586-0/Express-Tribune-(7)1732882586-0-270x192.webp "gold prices rise in pakistan international markets")
COMMENTS
Comments are moderated and generally will be posted if they are on-topic and not abusive.
For more information, please see our Comments FAQ