SEC cautions Nigerian investors about investing in PWAN MAX

The Securities and Exchange Commission (SEC) has issued a cautionary warning to Nigerians concerning investments in Property World Africa Network (PWAN) due to its lack of registration to solicit funds from the public. Despite posing as a real estate investment company, PWAN is not authorized to operate within the Nigerian capital market, according to a statement released by SEC on Tuesday.

In the statement, the commission highlighted the fraudulent nature of PWAN’s operations, stressing that the entity, along with its offshoot PWAN MAX, has not been registered by the Commission to engage in public investment solicitation or any activities within the Nigerian capital market. Investigations conducted by the regulatory body have revealed red flags characteristic of a Ponzi scheme, such as the promise of exceptionally high returns and the failure to fulfill withdrawal requests from investors.

As a result, the SEC strongly advised potential investors to exercise caution when considering investments with PWAN and PWAN MAX, as any financial involvement with these entities could pose risks to their capital. The commission reiterated the importance of verifying the registration status of investment platforms by utilizing its dedicated portal at www.sec.gov.ng/cmos prior to engaging in any transactions with them.

By alerting the public to the risks associated with investing in unregistered entities like PWAN, the SEC aims to protect investors from potential financial hazards and fraudulent schemes that could jeopardize their investments. Furthermore, the cautionary warning serves as a reminder to individuals about the importance of conducting due diligence and verifying the legitimacy of investment opportunities before committing their funds.

It is crucial for investors to remain vigilant and informed about the regulatory status of any investment firm they are considering, as unauthorized entities like PWAN could expose them to significant financial losses and legal repercussions. By adhering to SEC’s guidelines and exercising prudence in their investment decisions, Nigerians can safeguard their financial interests and avoid falling victim to fraudulent schemes that exploit their trust and capital.

In conclusion, the SEC’s warning against investing in PWAN underscores the regulatory body’s commitment to fostering transparency, accountability, and investor protection within the Nigerian capital market. By raising awareness about unregistered entities like PWAN, the commission aims to empower investors with the knowledge and resources necessary to make informed, secure investment decisions that align with their financial goals and values.