{"id":113859,"date":"2020-07-21T07:22:00","date_gmt":"2020-07-21T11:22:00","guid":{"rendered":"https:\/\/antiguanewsroom.com\/?p=113859"},"modified":"2020-07-21T08:23:27","modified_gmt":"2020-07-21T12:23:27","slug":"eccb-warns-customers-about-covid-related-scams","status":"publish","type":"post","link":"https:\/\/antiguanewsroom.com\/eccb-warns-customers-about-covid-related-scams\/","title":{"rendered":"ECCB Warns Customers About COVID-Related Scams"},"content":{"rendered":"
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The Eastern Caribbean Securities Regulatory Commission (ECSRC) advises the public in the member countries of the Eastern Caribbean Currency Union (ECCU) to be aware of fraudulent investment offerings that are being circulated via the internet and other channels.<\/p>

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These scams are currently being promoted using the COVID-19 pandemic as a cover to target unsuspecting or vulnerable individuals in times of economic stagnation and downturns. They include: Pyramid Schemes, Unauthorised Forex Trading, false COVID-19 related investments and Work From Home and Personal Finance Scams.<\/p>\n

Pyramid Schemes<\/em><\/strong><\/p>

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A Pyramid Scheme is a fraudulent investment offering that profits almost solely through the recruitment of other participants into the programme.\u00a0 The ECSRC warns the public to be on the alert for the following red flags of a Pyramid Scheme:<\/p>

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  1. Emphasis on recruiting new participants to join the scheme;<\/li>\n
  2. Promise of a high return over a short time;<\/li>\n
  3. No genuine product or service is offered; and<\/li>\n
  4. Complex commission structure.<\/li>\n<\/ol>\n

    Unauthorised Foreign Exchange Market (Forex) Trading<\/em><\/strong><\/p>\n

    Unauthorised Forex Trading Scams offer the chance to trade in foreign exchange, contracts for difference, binary options, crypto-assets and other commodities. These scams offer very high returns and guaranteed profits either through managed accounts where the firm makes trades on the investor\u2019s behalf or by trading using the firm\u2019s trading platform.<\/p>

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    The ECSRC also warns of other types of financial scams which all seek to capitalise on the unprecedented anxiety caused by the COVID-19 pandemic, such as:<\/p>\n