NAIROBI, Kenya — The Capital Markets Authority (CMA) has named 15 entities it says have been offering investment services and soliciting funds from the public without the required licences or approvals, warning Kenyans against dealing with them.
In a statement, the regulator said the entities were disguising fraudulent activity as legitimate investment opportunities and urged the public to steer clear of them.
“The Authority strongly cautions the public against dealing with entities and persons disguising their fraudulent activities as investment opportunities,” CMA said.
The 15 flagged entities
The regulator identified the following entities as operating without the requisite licensing or approval:
- Global Investment Group (GIG)
- QVSE
- Kore Exchange
- Abacus Wealth Management
- Brown Advisory Group
- B Invest
- Bitblock Capital Limited
- Maliwave Investments
- Monetrix Capital Investments
- Twenty-four Hours Pro Expert Trader
- Wealth Sharing Group (Opticoin)
- CBEX
- Just Markets
- Ultima Cryptocurrency
- Lukman-Trust Fund
Some of the named platforms have faced scrutiny before. QVSE, which operates under the Global Investment Group, was referred to Parliament’s Finance and National Planning Committee earlier this year after lawmakers raised concerns about a scheme combining cryptocurrency payments with US stock trading, which reportedly required a minimum investment of around Sh65,000 and restricted investors to a single trade a day.
Investigation under way
CMA said the 15 entities are now subject to active investigation by the Directorate of Criminal Investigations (DCI), working alongside the Authority and other law enforcement agencies.
The regulator called on members of the public, and anyone who believes they have been affected by the entities’ activities, to cooperate with investigators by reporting to their nearest DCI office.
Part of a wider crackdown on investment fraud
The warning is the latest in a series of advisories CMA has issued as unlicensed investment schemes and fraudulent operators continue to target Kenyans looking to grow their savings through digital platforms.
The Authority has previously cautioned against placing funds in unregulated products or dealing with firms that lack the necessary approvals, noting that investors in such schemes typically have no legal recourse if they lose their money.
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To help the public tell licensed operators apart from unauthorised ones, CMA maintains a public register of approved market intermediaries, which investors are advised to consult before committing any funds.
The Authority also houses the Capital Markets Fraud Investigations Unit (CMFIU), a specialised Kenya Police unit based at CMA’s offices that investigates securities-related fraud in coordination with the Authority and other agencies.
Under its enforcement mandate, CMA can investigate suspected breaches of securities law and impose regulatory sanctions on entities and individuals found in violation of the capital markets framework, while criminal matters may be pursued separately through the DCI and prosecuting authorities.
