Chinese firm, CHY, is operating a ponzi scheme as it does not have the license to operate its current business, the Economic and Organized Crime Office (EOCO) has revealed.
This comes after almost a year after investigating the operations of the firm.
It is therefore warning the general public and investors not to engage the firm in any form of business as they might be doing so at their own risk.
“The company which is registered as online trading and marketing services also solicits and takes/receives funds through investment packages from its customers with a promise of guaranteed returns/margins of various percentages over a fixed short period of time,” it said in a statement.
It further said “the company operates a Ponzi/Pyramid scheme and the general public is cautioned to desist from investing and patronizing Chy Mall. Therefore, anyone who transacts business with them does so at “their own risk.”
The report confirmed an earlier finding by Joy Business that described CHY operations as illegal, based on an interim investigation by EOCO.
EOCO also noted that the company is operating illegally and is neither registered by the Bank of Ghana (BoG) or the Securities and Exchange Commission (SEC).
It operates an E-Commence which comes under the Payment Systems and Service Act 2019 (Act 987) and regulated by BoG.
The SEC and BoG have already issued statements warning that the company “has not been licensed to carry out any Capital Market activity including investing or trading for returns.”