The Securities and Exchange Commission (SEC), on Monday, February 25, 2019 said it invoked its powers under Section 13 (w) of the Investments and Securities Act (ISA), 2007 to seal up the business premises of Dantata Success & Profitable Company (DSPC), for engaging in illegal activities in the Nigerian capital market.
A statement by the commission said the action was carried out earlier on February 6, following which court orders were obtained to freeze the company’s bank accounts thereby preserving the funds of investors in line with Section 13 (x) of the ISA 2007.
According to the SEC, DSPC “targeted and reached Nigerian investors through radio programmes in the Kano area of Nigeria and collected large sums of money from investors under the guise of a “structured investment.”
This, it said, is despite not being “registered or authorized by the Commission to engage in any activity in the capital markets.”
Continuing, the SEC said “the activities of the company contravene the provisions of Section 38(1) and 67(1) of the Investments and Securities Act which respectively, prohibit unregistered and unauthorized entities/persons from operating any investment business or making any invitation to the public to acquire or dispose of any securities of a body corporate or to deposit money with anybody corporate for a fixed period or payable at call.”
The commission warned the public that DSPC “and any individuals representing them are not registered and therefore not entitled to provide investment advisory or services in Nigeria.”
It charged the public to exercise utmost caution before subscribing to investment schemes, including always confirming the registration status of any company or individual and the products they are offering before entering into any transaction with them.
Pix caption: Earlier on February 19, 2019, the SEC sealed off the premises of Growing Cycle International Limited.
