Investors are being asked to verify the identity of their counterparties before signing any contracts or transferring funds.
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Photo: AFP file, used for illustrative purposes
Release date: Tuesday, July 23, 2024, 1:10 PM
Last updated: Tuesday, July 23, 2024 at 9:35 p.m.
UAE residents have been warned against fraudsters using the names and other details of licensed companies to dupe investors.
The Securities and Commodities Authority (SCA), which regulates securities in the UAE, warned that “unknown parties are falsifying the names and descriptions of ADS securities licensed by the regulator.”
The fraudsters used the official license issued to ADS Securities to avoid fraudulent activity by unknown entities.
“The SCA urges all investors to verify the authenticity of counterparties before signing any agreements or transferring funds and to refer to the data of licensed companies published on the SCA website,” the regulator said in its advisory.
UAE authorities have advised investors and residents to seek information from reliable sources and verify the authenticity of emails and messages sent through various channels to avoid becoming victims of scams.
Earlier, the SCA had urged investors to refrain from transacting with Platinum FX in respect of any activities subject to its supervision as the company does not hold the necessary licenses to carry out such activities. “Accordingly, the SCA does not assume any liability for any transactions with the company in this regard,” the regulator said.