The Securities and Exchange Commission (SEC) has said it has commenced investigations on 10 licensed investment firms after numerous public complaints.
According to the SEC, these complaints border on violation of the provisions of the Securities Industry Act, 2016 thus, Act 929.
The Commission has therefore cautioned the general public against transacting business with these companies. In a statement, it said “anyone who engages in any transaction with any of these companies could be exposing him or herself to avoidable risk.”
The said companies are MEC-Ellis Investment Ghana Ltd, Weston Capital Ltd, Brooks Asset Management Ltd, KamaagKapitalGh. Ltd. (formerly Lifeline Asset Management Ltd.)
Others are MAK Asset Management Ltd, EM Capital Partners Ltd, MET Capital Group Ltd, Canal Capital Ltd, Man Capital Partners Ltd, Alpha Cap Securities Ltd.
Sources at SEC said the asset management companies have for several months failed to pay their clients any returns on their investments. They have also been unable to refund their monies.
The Securities and Exchange Commission assured the public it would provide further details in due course.