Defunct FSB's name used to defraud public

By Staff Reporter Time of article published Feb 11, 2020

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The Financial Sector Conduct Authority (FSCA) has warned the public about Western Loan Finance, which was falsely using the defunct Financial Services Board (FSB) name and brand to defraud consumers by offering them opportunities to receive financial loans.

According to information received by the FSCA, Western Loan Finance used the “FSB” name in a deceitful manner to offer loans to the public and request an enclosure fee in order to release the loan.

“It is the FSCA’s view that this company and all individuals linked to it are conducting unregistered business and in breach of various financial sector laws including the Financial Advisory and Intermediary Services (FAIS) Act,” the FSCA said in a statement.

It said the FSB ceased to exist as the market regulator and was replaced by the FSCA on April 1, 2018. No correspondence under the FSB brand had been sent since then by the authority.

“Members of the public should report any such correspondence from this counterfeit ‘FSB’ company to the FSCA immediately,” it said.

The FSCA also warned the public to act with caution when dealing with Blue Alpha Alliance Group.

It said Blue Alpha Alliance Group was not authorised in terms of the FAIS Act to render any financial advice and intermediary services.

The FSCA had received information that there is a person soliciting funds from people, purporting to act for a company named Blue Alpha Alliance Group.

Blue Alpha Alliance Group was offering share investments in the “Uber and Taxify business”, it said.

FSCA said Blue Alpha Alliance Group was using the name and logo of a legitimate financial services provider, Blue Alpha Investment Management, which was in no way associated with Blue Alpha Alliance Group.

It said that members of the public should always check that an entity or individual was registered with the FSCA to provide financial advisory and intermediary services and what category of advice the entity was registered to provide. You can call the FSCA on 0800203722 (toll-free) or go to www.fsca.co.za/Fais/Search_FSP.htm to check whether an institution or person is authorised to render financial services, it said. 

PERSONAL FINANCE 

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