Chy Mall is a Ponzi Scheme; do not transact business with them - EOCO warns
- EOCO has called on Ghanaians to desist from investing in Chinese Company popularly called Chy mall
- According to EOCO, investigations into the operations of the company clearly proves that it is a ponzi scheme
- The EOCO however cautioned the general public to desist from investing and patronizing Chy Mall
Our manifesto: This is what YEN.com.gh believes in
The Economic and Organised Crime Office (EOCO) has called on Ghanaians to desist from investing in Chinese Company called Chy Century Heng Yue Group Limited and Sairuir-Commerce Ghana Limited.
EOCO believes operations of the company popularly known as Chy Mall proves that it is clearly a ponzi scheme.
A ponzi scheme is a form of fraud in which belief in the success of a non-existent enterprise is fostered by the payment of quick returns to the first investors from money invested by later investors.
Investors within a Ponzi scheme may even face difficulties when trying to get their money out of the investment.
Operators also try to minimize withdrawals by offering new plans to investors where money cannot be withdrawn for a certain period of time in exchange for higher returns.
In a statement released by EOCO, it stated that it has been monitoring their activities of the Chinese company since 2020.
Source: Facebook
The EOCO however cautioned the general public to desist from investing and patronizing Chy Mall or if they do, they do so their own risk.
Explaining how they operate, EOCO noted that the company allows customers to purchase a product online from the virtual shop through free registration.
It added that customers then purchase an investment package that ranges from GHS770 to GHS9,240.
Customers however earn money by engaging in the networking referral system simultaneously or without engaging in the networking referral system.
The Securities and Exchange Commission had earlier warned of the illegal activities of the company.
According to the Securities and Exchange Commission (SEC), they do not regulate the company's activities.
It said the two entities have not been licensed to invest or trade for returns as mandated by Section 3 of the Securities Industry Act, 2016 (Act 929).
The EOCO earlier warned Ghanaians about the activities of gold dealership firm, Menzgold.
The EOCO and the Security and Exchange Commission,(SEC), stated that the activities of Menzgold were not clear and warned Ghanaians to desist from the act of doing business with them.
In other news, the Supreme Court has dismissed an application filed by John Mahama to inspect some pink sheets in the possession of the Electoral Commission.
According to Mahama, the petitioner in the election petition trial, he needs to inspect the EC’s (first respondent) pink sheets for the purpose of comparison.
But, in its ruling the Court stated that the applicant already has the documents he was requesting, thus dismissing the application.
Enjoy reading our stories? Join YEN.com.gh's Telegram channel!
Source: YEN.com.gh
