Extreme caution - Pyramid scheme linked to remote access
The FMA continues to receive complaints about TXEX and their associated entities.
Scammers are using WhatsApp, Telegram and Viber groups, to run investment group chats which are led by a “mentor, “coach”, “professor”, “assistant” or “crypto adviser”. Other messaging platforms may also be used as this scam continues to evolve.
Recruitment
The FMA is aware that New Zealanders are actively recruiting their friends and family into this investment scam. The promoters of the fake investment platforms are currently offering reimbursement for dinners and other rewards when you successfully recruit someone new.
New Zealanders may not be aware this is an active investment scam as the fake investment platforms are allowing small withdrawals. This is a tactic to build investor’s trust and encourage them to recruit others. This tactic is often associated with Ponzi schemes and can result in investors losing considerable amounts of money. The FMA recommends extreme caution around this investment scam. If your friends or whānau are caught up in this scam, share this warning with them.
TXEX and its associated entities bears the hallmarks of a pyramid selling scheme. In New Zealand Pyramid Schemes are illegal and there are penalties for promoting or operating a Pyramid Scheme. You can find more information about Pyramid Schemes and the penalties here:
Pyramid selling schemes
Remote access
The National Cyber Security Centre has linked this investment scam to remote access. New Zealanders are being encouraged to download apps which require them to turn off their settings that prevent the installing of untrusted apps and software. Allowing the installation of untrusted apps onto your devices could give a stranger full access to your device. Access could include remotely accessing your devices to control your camera, send messages, record conversations, install further applications, view your photos, and steal your personal and banking information.
If you have downloaded any of the fake investment platforms as an app, follow the guidance in this advisory:
Investment scam linked to remote access - Own Your Online
We will add further entities and new websites to this warning as we become aware of them.
