The Capital Markets Authority (CMA) has warned Kenyans against investing in Global Investment Group and QVSE as investigations continue into suspected fraudulent activities linked to the entities.
In a notice issued on Friday, October 16, the regulator said it was working with the Capital Markets Fraud Investigations Unit (CMFIU) to investigate the two entities.
CMA appealed to members of the public with information about cryptocurrency wallet addresses or transaction identification details linked to suspicious transfers involving the entities to share it with investigators.
“Any person who has information relating to the cryptocurrency wallet addresses associated with suspected fraudulent activities and transaction hashes/IDs linked to suspicious transfers by these entities is requested to share any information to support ongoing investigations,” the authority stated.
The appeal signals the regulator’s continued efforts to gather information on suspected investment fraud and identify transactions that could assist ongoing investigations.
CMA Urges Investors to Verify Licences
The authority has urged Kenyans to exercise caution when dealing with online investment platforms, particularly those promising attractive returns without clearly demonstrating that they are authorised to operate.
Investors have been advised to verify the licensing status of investment companies through CMA’s official register of licensed entities before transferring money or committing funds.
The regulator also cautioned the public against investing through platforms that have not obtained the necessary approvals.
Unregulated schemes can expose investors to financial losses, especially where operators make misleading promises, conceal the risks involved or disappear with customers’ money.
CMA Previously Flagged 15 Investment Platforms
The latest warning follows an earlier advisory issued on September 12, when CMA flagged 15 investment platforms over alleged unlawful operations.
According to the regulator, the platforms were suspected of soliciting money from Kenyans through investment opportunities involving cryptocurrency, foreign exchange trading and money market funds without the required licences or regulatory approvals.
CMA also disclosed that the platforms were under investigation by the Directorate of Criminal Investigations (DCI), working alongside the authority and other law enforcement agencies.
The latest notice adds to the regulator’s warnings about investment opportunities offered through online platforms whose operators and regulatory status may be difficult for investors to verify.
Kenyans Advised to Protect Their Savings
Digital investment platforms have attracted Kenyans looking for alternative ways to grow their savings and earn additional income.
However, the convenience of online investing can also expose users to fraud, particularly when they rely on unverified claims, guaranteed-return promises or pressure to deposit money quickly.
CMA’s latest advisory reinforces the importance of checking whether a company is authorised before investing and reporting suspicious transactions through official channels.
Investors who have information relevant to the investigations involving Global Investment Group and QVSE are encouraged to contact CMA through its official email address or whistleblower portal.
The authority’s warning does not, by itself, establish that the entities or their operators have been found guilty of fraud. The allegations remain subject to investigation.
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