Ponzi crackdown: Ugandans advised to withdraw all their money

By Catherine Apolot

The youth Member of Parliament, Mwine Mpaka has advised everyone who has invested in ponzi and pyramid schemes to withdraw their money.

This follows a report by the Financial Intelligence Authority on December 5, listing all ponzi and pyramid schemes fraudulently cheating our Ugandans.

All those affected by companies that already closed should report to the cyber-crime division of CIID Kibuli to get compensated, Mpaka advised.

“The Directorate of Public Prosecution is preparing a mechanism for compensation and the arrested directors have also been prosecuted under electronic fraud, computer misuse act, obtaining money by false pretense,” Mpaka stated in a statement on Thursday.

Last week, Members of Parliament unanimously condemned the Ponzi and Pyramid schemes, which they said promise high returns with little or no investment.

A motion moved by MP Mwine Mpaka, (NRM, Youth, Western) urged government to ban all ponzi and pyramid schemes.

“Unsuspecting investors recruit new people who invest in the scheme. Whereas money comes in, this money is used to benefit the owners of the schemes and those who entered earlier. They usually appear genuine and profitable investments,” Mpaka said.

Then, Mpaka, added that the schemes have robbed Ugandans of their money and that bank accounts of the individuals operating the fraudulent schemes should be frozen.

Some of the schemes cited by Mpaka include World Global Mobile Network, Adfast Telexfree, Viral Angels, Onethor, Emaar Zventures, Amazon Traders, Prosperity Clube, Global Finance, D9 Clube, One Coin, Dag Coin, First Coin, Bux Coin, Mining Capital Coin, World Ventures, Alliance in Motion Global (AIM Global).