The Securities and Exchange Commission (SEC) has issued a stern warning to Nigerians about the dangers of unregistered investment schemes, specifically flagging Silverkuun Investment Cooperative Society/Silverkuun Limited as an unauthorized entity posing significant financial risks.
In a circular released on May 28, 2025, the SEC emphasized that the Silverkuun scheme is not licensed to operate as an investment adviser or fund manager in Nigeria’s capital market, urging the public to avoid transactions with the company to prevent potential fraud and financial loss.
The alert comes after the devastating CBEX collapse, a Ponzi scheme that defrauded over 600,000 Nigerians of approximately N1.3 trillion ($850 million) in April 2025.
The SEC, in the circular, revealed that Silverkuun, which claims to offer financial solutions like loans and investment opportunities, has been operating without regulatory approval.
The statement reads: “The attention of the Securities and Exchange Commission (‘the Commission’) has been drawn to the activities of Silverkuun Investment Cooperative Society/Silverkuun Limited which holds itself as an investment adviser/fund manager.
“The Commission hereby informs the public that Silverkuun Investment Cooperative Society/Silverkuun Limited is not registered to operate in any capacity in the Nigerian capital market.”
SEC, therefore, advised the public to refrain from engaging with the company or its representatives for any form of capital market business.
The Commission further warned that transacting with unregistered and unregulated entities poses significant financial risks, including fraud and the potential loss of investments.
“The Commission uses this medium to reiterate that transacting in the Nigerian capital market with unregistered and unregulated entities exposes investors to financial risk including fraud and potential loss of investment. The investing public is therefore reminded to verify the status of companies and entities offering investment opportunities on the Commission’s portal before transacting with them,” the statement added.
