South Africa's regulator, the Financial Conduct Authority (FSCA), recently issued a warning to the public about 14 unauthorised companies or individuals soliciting customers in South African jurisdictions without obtaining a licence or providing false registration information.

1. Forex Breakout Kings

The FSCA received information that Forex Breakout Kings (FBK) and Mr. Michaels were illegally providing foreign exchange trading services.

Entities trading or offering financial products on behalf of South African clients are required to be licensed by the FSCA. FSCA informs the public that under the Financial Advisory and Intermediary Services Act 2022 (FAIS), FBK and Mr. Michaels are not authorized to provide any financial advisory or intermediary services.

2. Spring Finance

The FSCA noted that Spring Finance used FSP number 54678 to impersonate a financial services provider to provide services to the public.

According to FSCA records, the FSCA license number 54678 does not exist. The FSCA informs the public that Spring Finance is not authorised as an FSP provider under the Financial Advice and Intermediation Services Act and has no authority to provide financial advice or intermediation services.

According to its website, Spring Finance is also a registered credit provider (NCR CP4578) that provides loans to customers. However, according to the website of South Africa's National Credit Regulator (NCR), Spring Finance is also not registered as a registered credit provider.

3. IQ OPTION LLC

The FSCA received information that IQ OPTION LLC's South African client was advertising on behalf of IQ OPTION LLC in South Africa as an "affiliate". IQ OPTION LLC paid these clients a portion of the profits earned on the accounts of traders they referred to IQ OPTION LLC.

IQ OPTION LLC is an international online trading platform that provides trading software on which users can trade currency pairs, stocks, cryptocurrencies, commodities and ETFs (exchange traded funds).

IQ OPTION LLC does not have a physical presence in South Africa and does not market or advertise its company. IQ OPTION LLC is not authorized to provide financial advisory or intermediary services in South Africa.

4. International Capital Markets Pty Ltd

The FSCA warns the public not to engage in any financial services related business with a group of individuals who are impersonating the International Capital Markets Pty Ltd (IC Market) company brand.

The FSCA noted that these individuals were looking for victims on Whatsapp and Facebook social media platforms. They falsely claimed to be agents or representatives of IC Markets to obtain themselves from individual traders interested in investing.

The social media addresses they use are as follows:

https://www.facebook.com/people/IC-Platform/100081463665287/

https://www.facebook.com/people/IC-Platform/100081463665287/

https://www.facebook.com/shirinda.douglas.5

They used the following email addresses to solicit funds from the public:

icmarketfxtrading@gmail.com

icmarketsinvester127@gmail.com

IC Markets is an authorized financial services provider (FSP number: 50715). IC Markets has confirmed that they are not affiliated with the impostors, who have used their brands, logos and trademarks without permission to defraud investors.

5. Kranken FX

FSCA noticed Kranken FX on its website (https://krankenfxtrade.com/) said the FSCA regulation. However, under the Financial Advisory and Intermediary Services Act 2022, Kranken FX is not authorised to provide financial advisory or intermediary services.

6. Luan Krige

The FSCA warned the public to exercise caution when conducting financial services-related business with Luan Krige, an individual currently residing in Pretoria.

The FSCA has received information that Mr. Krige may have provided financial services related to currency pairs and cryptocurrency transactions to the public. The FSCA noted that the provision of currency pairs and cryptocurrency transactions in South Africa requires an FSCA license.

The FSCA informs the public that Mr Krige is not entitled to provide any financial advice or intermediation services under the Financial Advice and Intermediation Services Act 2022.

7. Personal misrepresentation of Nesa Capital (Pty) Ltd

The FSCA has received a complaint from licensed financial services provider Nesa Capital (Pty) Ltd (FSP No. : 45930) that Nesa Capital Holdings may be providing financial services to the public under the pretext of its association. Nesa Capital (Pty) Ltd denied having any relationship with Nesa Capital Holdings.

The FSCA states that the provision of financial services in South Africa requires an FSCA licence. Under the Financial Advisory and Intermediation Services Act 2022, Nesa Capital Holdings is not authorized to provide any financial advisory or intermediation services.

8. Serene Financial Services

The FSCA warns the public not to enter into any Financial related business with Serene Financial Services. Serene claimed on her website that they were legal representatives of Legacy Risk Consult (Pty) Ltd. Legacy Risk Consult (Pty) Ltd is an authorised financial services provider (FSP number: 45536). Serene also claimed that they sold policies underwritten by African Unity Life Ltd, an authorised insurance company.

Legacy Risk Consult (Pty) Ltd has confirmed that Serene is not its legal representative and is not an FSCA authorised financial services provider.

In addition, an authorized Financial Services provider, Serene Financial Services CC (FSP No. 51559), has confirmed that it is not affiliated with Serene and that the website www.serenefs.co.za is not owned by the company.

9. Dench Investment Solutions (Pty) Ltd

The FSCA has received information that Mr Theophilus Mpofu and Dench Investment Solutions (Pty) Ltd (Dench Investments) may have engaged in the provision of share trading services.

Mr Mpofu and Dench Investments falsely claimed to be part of Unum Capital (Pty) Ltd (Unum Capital). Unum Capital is an authorized financial services provider with FSP number 564. Unum Capital has confirmed that it has no connection with Mr. Mpofu or Dench Investments.

The FSCA informs the public that Mr. Mpofu and Dench Investments are not authorized to provide financial advisory and intermediary services as FSPS.

10. Personal misrepresentation of Capital International Group Ltd

The FSCA warns the public to be wary of individuals posing as Capital International Group Ltd on WhatsApp social media and that the company represented by the individual may have misused authorized entity information to deceive the public.

The FSCA received a letter from Capital International Group Ltd and its authorised subsidiary CILSA Investments (PTY) Ltd (FSP No. 44894) and CILSA Solutions (PTY) Ltd (FSP number: 6650). Individuals posing as Capital International Group Ltd offered unrealistically high returns on investment opportunities on the social media platform WhatsApp.

Capital International Group Ltd has confirmed that it does not conduct any business on the WhatsApp social platform.

Although Capital International Group Ltd and its subsidiaries are authorized financial service providers, the individuals using Capital International Group Ltd's information on WhatsApp were not licensed, and as such, Under the Financial Advice and Intermediary Services Act 2002, the individual is not entitled to provide any financial advice or intermediary services.

11. Personal abuse of Integrity Asset Management

The FSCA warns the public not to conduct any financial services-related business with a group of individuals who are falsely using Integrity Asset Management (FSP number: 43249), an authorized financial services provider.

The FSCA noted that these individuals used Integrity Asset Management's logo, website information and contact details to solicit investments from the public by promising unrealistic excess returns on WhatsApp. They also used the logo and similar name of a company in Texas, USA.

Integrity Asset Management has confirmed that it has no connection to these individuals. The FSCA believes that these individuals are illegally engaged in financial services business.

12. A person falsely used Wealthport (Pty) Ltd

The FSCA warns the public to exercise caution when dealing with Wealthport Capital (Pty) Ltd (Wealthport Capital).

The FSCA received a complaint from Wealthport (Pty) Ltd (FSP No. : 44158), a licensed financial services provider, that Wealthport Capital may be offering financial services to the public under the pretext of its association.

Scammers using the Wealthport (Pty) Ltd name are offering unrealistically high return investment opportunities via the WhatsApp social media platform. Wealthport (Pty) Ltd has confirmed that they do not conduct any business on WhatsApp social media and denied any association with Wealthport Capital.

13. Datum RS fraudulently uses QuickTrade (Pty) Ltd

The FSCA warns the public to exercise caution when conducting any financial services-related business with Datum RS.

The FSCA noted that Datum RS misrepresented itself as a financial services provider and was associated with a licensed financial services provider QuickTrade (Pty) Ltd (QuickTrade) (FSP licence: 45262). QuickTrade denies any connection to DatumRS.

14. South Afri Capital Company t/a Thembi Shilengee

The FSCA noted that South Afri Capital Company t/a Thembi Shilengee (SACC) had provided customers with a document claiming to be licensed by the Financial Services Commission (FSB) with its Financial Services Provider (FSP) number 41432. According to FSCA records, the license plate number 41432 does not exist.

The Financial Services Commission (FSB) was South Africa's previous financial services regulator, which was abolished in April 2018 after the Financial Sector Regulation Act (FSRA) was enacted and established the FSCA. All preexisting license related files have been migrated to FSCA permissions.