wonder banks

[olowo]

Dear all,
I got this info from proshare investors alert,
The Central Bank of Nigeria (CBN) has taken a decisive and definite position on the activities of suspected dubious deposit takers and money lenders, otherwise referred to as wonder banks.

Their activities have been banned while the full weight of the law will be brought on the perpetrators.......

I know so many of us are involved in this, what is the way forward?

[Avocado]

See: http://www.stockmarketnigeria.com/fo...=3080#post3080

[wanaj0]

Not involved because I am not that gullible. However, no way CBN can ban them. They don't call themselves finnace house or a bank so cannot be regulated by CBN. They are not breaking any laws either so why ban them. It is not illegal to feed on the GREED of Nigerians. Bring your money and I will double it for you. You agree and we make a deal. Until they start to default, nothing spoil.

When it is time to default (not if), the major promoters will be out of the country. Offices will be turned to restaurants. People will queue up there wondering what has hit them. Nothing!!!! Just the greed in man that makes man to thing rationally.

People say NOSPETCO is into the oil business and I laugh. Almost all oil marketing companies have drop in margins. Only Zenon being the major importer of diesel and NOSPETCO is not in that line.

Even if they are using the money to fund business or expand, there is always a limit! Oh, they have an infinite capacity to expand.

Who are the staff of NOSPETCO? Apart from the people you see at the front office and their marketers, who are the other staff? How much do they pay?

Sorry for using NOSPETCO as an example. It applies to others also.

Just shows that man is unable to learn. How come people have forgotten about FORUM? How come they don't remember Umana Umana again?

So simple GREED!!!

[Geeman]

I know so many of us are involved in this, what is the way forward?[/quote]

Olowo,
Unfortunately, I suspect not "so many on this forum are involved in this." If you read previous posts on the subject, you will notice that these get rich quick institutions were analysed and there was a near consensus that they were not sustainable in the long run and members and visitors alike were warned to be aware of the dangers involved.
I am not sure what the law is on the matter, but I think the action of the CBN will be a welcome development to stop more people from falling victims of these scams.

[Lidris]

Deard WANAJO,

You could not have said it better well done!! we have a bunch of greedy citizens and we never learn, the stock market can produce more profits more than this wonder banks if only you trade wisely and carefully good luck guys.

[wanaj0]

Originally Posted by Geeman

I know so many of us are involved in this, what is the way forward?

Olowo,
Unfortunately, I suspect not "so many on this forum are involved in this." If you read previous posts on the subject, you will notice that these get rich quick institutions were analysed and there was a near consensus that they were not sustainable in the long run and members and visitors alike were warned to be aware of the dangers involved.
I am not sure what the law is on the matter, but I think the action of the CBN will be a welcome development to stop more people from falling victims of these scams.[/quote]

What concernns CBN in the matter. They've not broken any rule. People willingly walked into their offices. They don't even advertise in the papers!!!! GREED is the thing driving people. Will surely not PITY anyone when the bubble will burst.

[c kenneths]

I warned them in this forum, I even exchanged hot words with a friend hell bent on putting a million into these scammers pocket, he told me all investments are risks, now we see which is riskier.

[Avocado]

Isn't it telling that the CBN couldn't find any evidence of illegal activity? How can anyone then begin to conclude that they are "scammers". The main reason to not invest in these schemes, for those who wish not to invest, is the lack of understanding of what they do. I'd say rather than villify the owners and investors in the schemes, it is the failure of the CBN, and the obvious jealousy of the bank chiefs, that should be the news. The CBN couldn't find any evidence of illegal activity, so they send out a bad word about the schemes so as to bring them down; this is a shame and a failure of the regulating body. How much of tax payers' funds did they put into this failed investigation?

Giving the CBN any credit, and/or trying to rail against the schemes is attempting to snatch defeat out of the jaws of victory for the schemes.

Necessary disclosure (before anyone begins to go on that line): Avocado currently has (and has always had) N0.00 in NOSPECTO, Up Henry, Wealth Zone, or any other such schemes.
.

[olusolakemmy]

I dont believe there is no law against all sort of illegal institution that takes advantage of peoples gullibility.
some people were sentence to long years in jail for the same scandal in USA, CUBA, COLOMBIA ETC.

Such business is a very old one, there was a particular saturday punch (i cant remember date) that made a publication about this system, they made countless references on how it all started in the western countries, just exactly the same method of bring 10 and collect 7 weekly or monthly unitl u are tired of getting then u sign out, i wonder why people should still enter the same set of business, knowing fully well that to a large extent your money is not secured ot the risk attached is simply too high.

even if it does not happen now, it will definitely happpen, if u are involve, please be warned count your profit or losses and take your money, nowwwwwwww

[c kenneths]

@Avocado, if you think those pepole are not scammers why didnt you invest your money in there since they produce millions much faster than the stock market.

You know why I think they are scammers, these people set out in the beginning knowing that these things will eventually go sour, in the long run.

They set up office and start collecting deposits from a business that is not registered as a financial deposit collector, or investment bank, then go ahead and use this money for other purposes, usually invesing or money laundering.

They never default from timely payments as a means of drawing in more people with more money to deposit.

I learnt that they usually have secret accounts where the real cash is stashed, and when they are closed down, they escape with the money in the hidden accounts, probably with different names, while the authorities are left with only the money in the public account.

[Geeman]

@Avocado,
We do not need a prophet to tell us that these are scammers. We have been down this road before for everyone to be deceived by them. Perhaps you do not remember, this is the 1990s and all the get- rich- quick schemes of that era playing out again. Do we need to repeat history needlessly everytime? No! We should learn from it.

[Avocado]

c kenneths, Geeman: you both may have missed the essence of my comments.

Why was the CBN not able to find any evidence of illegal activity? This question is not an endorsement of these schemes. To be sure, there are legal investments that could give such high returns, heck, if you buy and sell at Aba, or Idumota, and sell pens that write for only 3 minutes (apologies, Osietutu), you could make a lot of money in Nigeria. The CBN investigators appear incompetent; how long do you think it would take you both along with three others freely chosen on this board - with adequate funding - to make definite, clear, and unambiguous statements about these schemes? Why was the CBN unable to do that?

.