Financial Crime World

Headline: 300 Swazis Left in the Lurch by Missing Pyramid Scheme Founder in MBABANE

Overview

  • 300 unsuspecting Swazis have been left in financial distress after a local teacher mysteriously vanished with their investments from a pyramid scheme.
  • The scheme, called Pocket Money, promised substantial returns, attracting participants with elaborate marketing tactics.
  • Established in September 2022, the scheme had four distinct tiers or accounts, with subscription fees ranging from E275 to E1,100.

Pyramid Scheme Details

  • Location: Lusoti Primary School, Lubombo Region
  • Founder: A local teacher
  • Accounts: Bronze, Silver, Gold, and Platinum
  • Subscription fees: E275 (Bronze), E550 (Silver), E885 (Gold), E1,100 (Platinum)
  • Returns: Bronze: E425 in 3 days; Silver: E885; Gold: E16,450; Platinum: Unknown

Impact on Participants

  • 300 Swazis collectively suffered significant financial losses
  • Some members had subscribed to multiple tiers, whereas others had only ventured into one or two
  • One victim, who had barely been a member for two weeks, had received payment from one account but was left empty-handed
  • Another participant had joined the pyramid scheme three weeks prior, driven by the allure of financial gain, but communication from the founder had become sparse

Response and Calls for Action

  • The police urged Swazis to exercise caution and prioritize financial security during the holiday season
  • Victims remained resolved to pursue the truth and recover their lost investments, but with no trace of the founder and mounting financial losses, their odds of success were growing dimmer day by day
  • The whereabouts of the founder remained unknown, and no official actions had been taken by some participants
  • Victims went to Lusoti Primary School, hoping to gather information about the missing funds, but the head teacher, Miss Shongwe, could offer no concrete answers
  • The woman in question had been absent from the school for an extended period and was not expected to return
  • Superintendent Phindile Vilakati, the Chief Police Information and Communication Officer, appealed for vigilance and research into the legitimacy of any financial institution before investing

Conclusion

  • The allure of quick money during the festive season can make people vulnerable to falling victim to pyramid schemes
  • It’s essential to exercise caution and research the legitimacy of financial institutions before investing to avoid potential financial pitfalls