SEC warns investors against paying to access locked-up cash

The Securities Exchange Commission (SEC) has cautioned customers of the defunct fund management companies against paying a facilitation fee to get access to their locked-up cash.

The warning came after an entity, PBAY Limited, claimed it was able to facilitate the payment of customers whose investments were locked-up with some SEC-regulated market operators who had their licenses revoked in return for a fee or a commission.

But SEC in a statement described the action of PBAY as fraudulent as it had not been registered by the Registrar-General’s Department.

“Our investigations have revealed that there is no company duly registered by the Registrar-General’s Department under that name. Furthermore, the general public and investors are to note that neither the SEC nor the Official Liquidator, being the Registrar General, have authorized the actions of PBAY Limited.”

SEC advised investors to submit their claims and documentation to publicly announced designated persons in accordance with statutory notices issued by the official liquidator or the SEC.

“Anyone who disregards this warning does so at his or her own risk,” the statement added.

Depositors of the collapsed institutions were given the green light to, from Wednesday, September 16, 2020, have full access to their funds following the release of a total of GHS3.56 billion to settle the remaining depositor claims of the 347 defunct Microfinance companies, 23 Savings and Loans, and Finance Houses.