Ponzi: SEC warns Nigerians against doing business with Forsman and Bodenfors over ‘fraudulent’ activities

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The Securities and Exchange Commission (SEC) has warned Nigerians about the activities of Forsman & Bodenfors Limited, also known as F&B.

In a statement on Monday, the SEC said the entity is fraudulent and operates with criminal intent.

The commission said the promoters of the firm claim to be operating as the Nigerian branch of a Swedish advertising company with a similar name.

“The attention of the Securities and Exchange Commission (The Commission) has been drawn to the activities of FORSMAN & BODENFORS LTD also known as F&B, which is paraded by its promoters as the Nigerian Branch of a Swedish advertising company bearing that name with obvious criminal intent,” the statement reads.

“The promoters of this fraudulent Nigerian entity go about promising Nigerians automatic employment in the company as compensation for recruiting more members who are lured to pay various sums of money for various positions in the company.

“Preliminary investigations reveal that FORSMAN & BODENFORS LTD has been actively promoted on social media platforms and online forums. Its operations exhibit the typical indicators of a fraudulent (Ponzi) scheme.“The Commission hereby informs the public that FORSMAN & BODENFORS LTD is NOT REGISTERED by the Commission nor authorized to solicit funds from the public or to operate in any capacity in the Nigerian capital market.”The SEC urged the public to avoid engaging with the firm or its representatives concerning activities in the Nigerian capital market, warning that there is a potential risk of financial loss due to the fraudulent nature of its promoters. Thecable