South Africa’s financial regulator has warned the public about a fraudulent investment outfit that is using the name of the Johannesburg Stock Exchange (JSE) on WhatsApp to lure investors.

Fake Links to JSE

The Financial Sector Conduct Authority (FSCA) said Octodec Invest Ltd has been presenting itself as associated with the JSE, South Africa’s licensed stock exchange. The JSE confirmed through legal counsel that no such connection exists.

According to the FSCA, Octodec has used the JSE’s trademarks without permission, which is prohibited under section 4(2) of the Financial Markets Act. The law bars unlicensed entities from presenting themselves as exchanges or suggesting a link to one.

“It is the FSCA’s view that Octodec is operating without proper authorization and is fraudulently using JSE’s names to conduct business and mislead members of the public,” the regulator said in a Wednesday warning.

The FSCA said Octodec is operating without authorisation and misleading members of the public with false claims of legitimacy. The regulator cautioned anyone approached by the firm to proceed with care. The watchdog urged investors to request proof of all dealings and to confirm that providers are licensed before engaging in transactions.

Wider Scam Network

The FSCA also drew attention to a fraudulent WhatsApp group claiming ties to both the FSCA and the JSE, highlighting growing concerns about online channels being used to spread scams.

It reminded the public that only entities authorised by the FSCA may provide financial products or investment advice, and urged verification through its website.

Expect ongoing updates as this story evolves.

Source: Finance Magnates