SC Warns Public on Pre-IPO Investment Scams
The Securities Commission Malaysia (SC) has issued a warning to the public about investment scams targeting pre-IPO shares of companies seeking listing on Bursa Malaysia. These scams typically involve private placement offerings and are often timed with upcoming IPO listings. Scammers posing as agents create public WhatsApp groups to promote these investments and add potential victims without their consent. They also use fake testimonials from supposed investors to enhance credibility. Payments for these subscriptions are directed to bank accounts not affiliated with the IPO, suspected to be mule accounts.
The SC has received numerous complaints and inquiries from investors, reporting substantial losses exceeding RM800,000. The public is advised to remain cautious when evaluating investment offers and to avoid transferring or depositing money into suspicious accounts. Verification of investment opportunities can be conducted through the SC Investment Checker.
