The Securities and Exchange Commission of Ghana (SEC) in a statement, has warned the general public and investors not to invest with a new Ponzi scheme, TIZAA GHANA FUND.
According to a statement issued by SEC, TIZAA Ghana Fund is not licensed and as such, is not regulated by Securities and Exchange Commission.
“The General Public is hereby put on notice that TIZAA GHANA FUND has not been licensed by the Securities and Exchange Commission (SEC) to carry out any Capital Market activity including investing or trading for returns as mandated by Section 3 of the Securities Industry Act, 2016 (Act 929). TIZAA GHANA FUND is therefore not regulated by the SEC.”
SEC Statement
The statement further cautioned the general public about the activities of such Ponzi schemes, and subsequently urged Ghanaians not to patronize them, but to report them to the Commission.
“The General Public is advised to be cautious with investing in unlicensed products. The general and investing Public is further advised to consult the SEC through its toll-free line number 0800100065 or main line number 0302768970-2 to confirm the licensing status of any firm offering products or services relating to investments in the Capital Market.”
SEC Statement
SEC thus, assured the general public and investors of the Commission’s unwavering determination to surveil the market to enhance efficiency, transparency and promote growth of the capital market.
“The SEC wishes to reassure all Market Operators, Investors, and the General Public that it is dedicated to ensuring rigorous implementation of all the rules for operators in the Capital Market to promote the orderly growth and development of an efficient, fair, and transparent securities market in which investors and the integrity of the market are protected.”
SEC Statement
SEC’s Mandate
The Securities and Exchange Commission, hereinafter referred to as the “SEC”, is the statutory body mandated by the Securities Industry Act 2016 (Act 929) to promote the orderly growth and development of an efficient, fair, and transparent securities market in which investors and the integrity of the market are protected.
One of the core functions of the SEC is to maintain surveillance over activities in the securities industry and to protect investors by publishing at regular intervals information to the public to inform their investment decisions.
Activities of TIZAA GHANA FUND
Tizaa Ghana Fund is a new investment scheme which operates on a Telegram platform. Tizaa guarantees 50% return on every investment you make with them after only 10 days. Reports indicated that it so far operates like Menzgold – by taking depositors fund and adding huge returns on it within a short period.
Tizaa accepts an amount ranging from GH¢100 to GH¢300,000. Since Tizaa became popular among Ghanaians, it has recorded over 37,000 new membership subscriptions just within a week of promising 50 percent returns.
It can be recalled that SEC issued a similar notice to Menzgold in 2018 that the company was not a SEC-regulated entity because its operations contravened Section 3 of the Securities Industries Act, 2016 (Act 929) which dealt with the registration, licensing, authorisation and regulation of entities in the securities market. Together with the Bank of Ghana, Menzgold was collapsed and the CEO is currently being prosecuted.
However, it is on unknown if the Commission will take further actions against the Tizaa Ghana after this statement.
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