Investors are urged to verify the identity of entities they are dealing with before signing any agreements or transferring money
Photo: AFP file used for illustrative purposes
UAE residents have been warned against scammers using a licensed company’s name and other details to dupe investors.
The Securities and Commodities Authority (SCA), which regulates securities in the UAE, warned that “an unknown party is impersonating the name and description of ADS Securities” which is licensed by the regulator.
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The scamsters used the official licence issued to ADS Securities to avoid any fraudulent practices by unknown entities.
“The SCA calls on all investors to verify the truth of the entity that they deal with before signing any agreements or making any financial transfers and to refer to the data of licensed companies published on SCA’s website,” the regulator said in an advisory.
Authorities in the UAE issue advisory to investors and residents, asking them to source information from reliable sources and check the authenticity of e-mails and messages sent to them through different channels so they don’t become victims of fraud.
Earlier, the SCA called on investors to refrain from dealing with Platinum FX company in relation to any activities that are subject to the authority's supervision as the company has not obtained the necessary licence to practice any such activities. “As such, SCA disclaims any responsibility for any dealings with this company in this regard,” said the regulator.
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Waheed Abbas is Assistant Editor, covering real estate, aviation and other business stories that directly affect the lives of UAE consumers. He frequently reports human interest stories, too.