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SEC warns Nigerians against dealings with FinAfrica, Poyoyo Investments

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The Securities and Exchange Commission (SEC) has cautioned Nigerians against dealings with FinAfrica Investment Ltd and Poyoyo Investment.

The regulator published the warning on its website, explaining that the activities of the companies were not authorized.

Declaring FinAfrica as an illegal operator, SEC said they claim to be an investment company focused on developing commercial sectors of the economy.

The circular quoted the firm as insisting that the funds are used in entities under Chinmark Group.

It, however, notified investing Nigerians that neither FinAfrica investment Limited nor Chinmark Group is registered by SEC.

SEC stressed that the scheme promoted by the entities are not permitted by the government.

“The public is hereby warned that any person dealing with the named companies in any capital market-related business is doing so at their own risk.”

SEC also mentioned electronic and WhatsApp messages being circulated to investors on behalf of Poyoyo Investment (Pilvest) Nigeria Ltd.

“Poyoyo Investment (PILVEST) Nigeria Limited have no tangible business model, hence it is a Ponzi scheme where returns are paid from other people’s invested sum,” the statement added.

Marksman Ijiomah, Chairman, Chinmark Group, told the News Agency of Nigeria (NAN) that FinAfrica was not engaged in capital market business.

Ijiomah disclosed that in six years, SEC had never wrote to the company to complain about their dealings

“SEC did not term us a Ponzi scheme in the circular. We do not do capital market business, we do not sell stock or shares. We are not into equity funding.

“We have partners who come together and give us funds to run business and at the end of the month, we give them profit from the business.

“SEC has neither invited us nor sent us a circular to say that what we are doing is not in line with their regulations before they made the publication,’’ he said.