PONZI SCHEME EXPOSED BY READER

Dear A.S.S. Editor

I am a victim of an investment scam. I am here to shed light on many investment scams in Singapore. Some of the victims are my friends and some are personal accounts. What is a ponzi scheme?
In simple words, you start an investment firm and get X number of investors and promise them some returns. Awhile later you get Y number of investors. The currency acquired from group Y will then be used to pay off group X.

We all want to be rich, so we park our money in places where we let our money grow, we also understand that every investment bears a level of risk depending on the business we are investing our money in. Some of us don’t have the knowledge about investments, giving rise to a whole new industry of “investment firms” where people park their money and the company will do the necessary to keep the cash flowing thus making it a win-win situation.

However, this is not as direct as it sounds. There are many companies that promise the world and don’t deliver. As much as it is a terrible feeling to know you have lost all your money, it is an even more terrible feeling to know that the money you put in was not even used for the businesses these companies claim to be involved in. Sometimes they take it up a notch by investing in “showrooms” to give potential investors a feel about what they are investing in. I want to shed light on such companies that have:

UFUN:
A digital currency firm of which the currency can be used to purchase property etc. Turns out to be a ponzi scheme.

Tropical Forestry Ventures’ overseas agarwood investment: Investors invest in saplings with promises of up to 700% returns when the trees they purchased are ready for harvesting. Investors are told that the company was shutting down and another company was taking over the accounts.

Reign Geoponics/capital nation:
This company is sketchy. Constantly changing their name. Investors would invest in a plot of land harvesting hydroponic crops. Company has a dummy plot of land with some vegetables growing for show. They claim that their vegetables will be available in super-markets and the revenue generated from the profits will be used to pay off investors. This claim have yet to be confirmed as there is no Reign geoponic vegetables in ANY supermarket or small shops.

Suisse International’s Gold Buyback scheme:
The investors would invest in physical gold with returns of 2% a month. The company sells the gold at a discount price to encourage investors to put their money. The investors are allowed to take back the physical gold home and promise to buy it back at the original price regardless of market prices. As it turns out this is a scam.

How to detect a scam?
1) Check MAS RED ALERT LIST
– They list out all non-mas regulated firms.
2) Check company name history
– There is a high chance scam companies constantly change name and location
3) Do a spot check on what you have invested in.
– We have to saveguard our money.
4) Question everything.
– It may feel like you are being troublesome, but reality is that little trouble will save you all your hardwork.

Tim
A.S.S. Contributor

Check Also

Worker’s Party MP He Ting Ru Calls Out Systemic Racism in Singapore

Sengkang MP He Ting Ru said she was dismayed that many Singaporeans are living with racism. "There is no place in our society for racism, sexism or xenophobia," she wrote.