The Securities Commission Malaysia (SC) has issued a warning to the public regarding a new investment scam involving the use of fraudulent Information Memorandums (IM).
The scam falsely claims that the IMs have been lodged with or endorsed by the SC to gain investor trust.
Under the Capital Markets and Services Act 2007 (CMSA), unlisted public companies are required to submit their IMs to the SC within seven days of issuing them to potential investors. However, the SC clarified that the lodgment of an IM does not indicate SC endorsement.
The SC discovered that a company had falsely represented to investors that its IM was lodged with the SC, misleading the public and giving unwarranted credibility to its investment scheme. The SC confirmed that the company in question had not lodged any IM and suspects the scheme is part of a broader investment scam.
In response, the SC has taken immediate action, including filing a police report and adding the company to its Investor Alert List. The list can be accessed at the SC’s website.
The SC urges the public to remain cautious and verify any claims involving the SC or its officers. Investors are encouraged to use the SC’s Investment Checker tool at www.sc.com.my/investment-checker to ensure the legitimacy of any investment offers.
To report suspicious activities or seek further information, the SC’s Consumer and Investor Office can be reached at +603 6204 8999 or via email at [email protected].
