Public and private agencies have warned people to be wary of investment scams while urging investors to conduct extensive research before making an investment decision.
According to the Securities and Exchange Commission (SEC) and the Federation of Thai Capital Market Organizations (Fetco), criminal groups have been found to impersonate asset management companies, financial institutions, or securities companies in order to lure people to invest in their scams. Some individuals seek to increase their credibility by illegally using names, images, and business logos that belong to the SEC.
The SEC and Fetco advised investors to carefully examine the information given by these scamming groups before investing. The agencies noted that signs such as illogical return rates, unclear return sources, risk-free guarantee claims, or returns from inviting others to invest should not be ignored. Other red flags include a lack of verifiable reference sources in financial assets or requests to deposit funds into a personal account that does not report or notify the investors during the transfer.
Ruenvadee Suwanmongkol, the SEC’s secretary-general, warned that investors will not be protected by law if they are found to be associated with unlicensed groups. She emphasized that when consumers are approached to invest in any business, they should request verification of an SEC-approved registration number and consult with reliable sources for product details.
Investors are also urged to check the list of people with licensed businesses and securities on the SEC Check First application. The list can be found in the mobile app or on the SEC Check First Page at www.sec.or.th.
