KUALA LUMPUR: The Securities Commission has reminded the public to exercise caution when evaluating investment opportunities, especially in light of an increase in investment scams being promoted on messaging application Telegram.

       "Since January 2022, the SC has received a total of 47 complaints and enquiries on illegal investment schemes promoted through Telegram.

       "These fraudulent schemes offer non-existent investment opportunities, promising very attractive and risk-free returns within a short span of time," said the regulator in a statement.

       According to the SC, the scams commonly offer unrealistic returns of as high as 1,000% within 24 hours or even within a few hours.

       On the modus operandi, it said the perpetrators use various names to carry out the investment scams and could also impersonate or clone licensed capital market intermediaries using their names, logos, credentials, website and other details.

       The SC said the perpetrators will create a public group in Telegram to promote the investment packages, which are usually accompanied by fake testimonies and are sometimes advertised as being Shariah-compliant.

       Interested investors will be asked to directly message the representatives to begin investing in the various investment packages offered.

       Additionally, investors are often instructed to deposit monies into personal bank accounts of individuals who claim to represent a legitimate entity, and/or into an unrelated corporate account.

       To lend credence and to lure unsuspecting victims, perpetrators usually claim that their entity and/or the investment schemes are approved by financial authorities.

       "As such, the SC would like to remind investors to always exercise caution when evaluating investment opportunities, especially those promising unrealistically high returns with little or no risk.

       "Investors should also never deposit money into someone’s personal bank account if instructed," it said.

       The SC urged the public to refer to the SC's investor alert list before investing.

       Members of the public who suspect that they have been approached by unauthorised firms or individuals offering schemes that promise unrealistic returns may lodge a report with the SC’s Consumers and Investors Department at 03-6204 8999 or email: aduan@seccom.com.my.