The Securities and Exchange Commission (SEC), has urged investors not to transact with Property World Africa Network (PWAN), also known as PWAN MAX.
The SEC gave the charge in a statement released via its X handle on Tuesday, May 6, adding that the notification is to protect their financial interest.
In the statement, the SEC noted that PWAN has been soliciting funds from unsuspecting investors under the guise of a real estate investment company.
Further, the SEC added that PWAN MAX is not registered with the Commission to operate in any capacity within Nigeria’s capital market.
According to SEC, investigations into PWAN’s operations uncovered characteristics typical of a fraudulent Ponzi scheme including red flags such as promises of unusually high returns and the company’s failure to honour withdrawal requests from subscribers.
“The Commission hereby informs the public that PWAN/PWAN MAX are NOT REGISTERED by the Commission either to solicit investments from the public or to operate in any other capacity within the Nigerian capital market,” the statement read in part.
The SEC’s warning comes amid growing concerns about unregulated entities exploiting investors in Nigeria’s financial markets.
The Commission emphasised the risks associated with investing in unregistered platforms, stating, “The public is strongly advised to be wary of investing with PWAN/PWAN MAX, as any person who places such investment with these entities does so at his/her own risk.”
It noted that the caution underscores the need for due diligence among investors to avoid falling victim to fraudulent schemes.
The SEC urged potential investors to verify the registration status of any investment platform before committing funds.
The Commission directed the public to its dedicated portal at www.sec.gov.ng/cmos for this purpose.
“The Commission similarly reminds potential investors of the need to VERIFY the registration status of investment platforms via the Commission’s dedicated portal,” the statement noted, reinforcing the importance of transparency and accountability in financial dealings.”
This development follows a series of efforts by the SEC to clamp down on unregistered and fraudulent investment schemes in Nigeria.
The Commission has repeatedly called on the public to exercise caution and conduct thorough checks before engaging with entities promising high returns.
It said, “Investors are urged to heed the Commission’s warning and avoid transacting with PWAN MAX to protect their financial interests.”
Typically, the declaration has raised serious concerns about the legitimacy of PWAN’s activities.
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