THE Securities Commission (SC) had directed seven operators, comprising entities and individuals, to cease and desists from undertaking all activities related to unlicensed investment advice.
“Providing investment advice is a regulated activity that requires a licence under the Capital Markets and Services Act 2007 (CMSA).
“Any person carrying on a business of giving investment advice without a licence commits an offence under the CMSA, which is punishable with a fine not exceeding RM10 mil or imprisonment not exceeding ten years, or both,” it said in a statement.
The seven unlicensed operators and advisers are as follows:
1. Don Trader / DT Academy Sdn Bhd
2. Engineer Saham / Ergonamos Marketing – by Mohd Faizal Bin Raihan
3. Felix Consulting
4. Lifestyle Trading Masterclass / LTM Tech- by Jeremy Looi Chee Keong
5. One Stock Centre / Stock Advisor / The SuperInvestor / SA Expert Consultancy – by Logeswaran Balasubramaniam
6. Serikandi Saham / Thoriq Legacy Sdn Bhd- by Fatin Fatini Ismadi
7. Teknik Saham- by Fazlisyam Md Isa
SC issued notices to the companies after the operators were found carrying out the business of advising others on securities or derivatives, which includes providing stock recommendations upon receiving a fee.
The activities are usually carried out in subscription-based private chat groups via Telegram, Whatsapp and Facebook.
“With that, we have listed the seven operators, with relevant details, in the SC’s Investor Alert List,” it added.
The SC then warned operators of other online webinars, seminars, social media and messaging applications chat rooms to cease carrying out any unlicensed investment advice activities.
The regulatory body said that it was monitoring such activities constantly and will, where appropriate, take action against those who breach securities laws.
“The public is also urged to report to us if they have been approached by unlicensed persons offering capital investment advice at [email protected] or call +603-6204 8999.
“While the SC carries out pro-active internet surveillance to stem illegal capital market activities perpetrated through social media, the public are also reminded to be vigilant and be cautious of the risks of participating in any investment schemes, as they could be defrauded or used as part of a market manipulation scheme.
“Investors should verify the licence or registration of individuals, companies and platforms offering capital market services or products, before making any investment decision, which includes the provision of investment advice,” the SC remarked.
Checks can be done through the SC website via the Public Register of Licence Holders www.sc.com.my/licensed. – March 22, 2021.
