INVESTOR ALERT: SC to block access to illegal investment scheme websites, investors urged to terminate accounts immediately
The Securities Commission (SC) today announced that it will be embarking on an exercise to block access to websites offering illegal investment schemes to the Malaysian public. This exercise will begin on 11 June 2007.
All existing investors to such schemes via the Internet are urged to withdraw their investments and terminate their accounts immediately. Investors will not be able to enter their accounts once access to the websites are blocked.
The SC is joining forces with the Malaysian Communications and Multimedia Commission (MCMC) and CyberSecurity Malaysia to track, identify and block access to local and foreign websites promoting investment scams.
This latest measure by the SC follows a series of repeated warnings and investor alerts on illegal investment schemes. The SC has set up an internal taskforce and embarked on a comprehensive investor awareness campaign on internet investment scams. Despite repeated warnings, there are still people who continue to invest in these illegal investment schemes. Between April and May 2007, the SC has received around 720 enquiries and complaints relating to illegal internet investment schemes with some members of the public indicating that they have lost huge sums of money.
Illegal investment schemes promoted on the Internet are not licensed by the SC to provide investment advice that is related to securities or futures activities or carry out fund management activities in Malaysia . Members of the public are reminded that they should only invest with parties licensed by the SC to be accorded the protection provided under the securities laws.
Lists of companies and individuals licensed by the SC to engage in investment activity are available at www.sc.com.my . The SC website also provides a periodically-updated list of known companies and websites which are not authorised nor approved under the securities laws to deal in securities, provide investment advice and/or fund management services related to securities or futures. Investors are advised to check with the lists before investing with any parties.