CRFIN: Delston Capital Ponzi Scheme

CrFIN3 July, Lagos  Russia’s self regulatory financial body- CRFIN has again added a new firm to its infamous black list of firms which have been found unworthy of operating credible investment outfits.

The company, Delston Capital Group, Inc. promises extremely high returns to its clients, with no business model to support its mode of operations, therefore, it remains unclear how the return on investment is being generated. Delston Capital Group offers clients 9 investment programs, promising stable returns of 3.8-4.98% per week, with a multi-level partner program, which is positioned as unique.

The major concern of the CRFIN is that the company does not present a business model with a sufficient level of transparency to justify whether or not its operations a genuine. There are also no objective guarantees of payment return and paying the claimed percentage, otherwise than by using the previous clients’ deposits.

Also, the company has not given any information as to licensing or authorization to deal in such activities or to attract and hold client funds. The regulators have boldly stated that “Please note that the mentioned company is not a member of SRO CRFIN!”.

This adds to the long list of blacklisted firms by the CRFIN. As of July 2, 2015, there are 47 companies in the CRFIN Black list.

“CRFIN warns the public that investing in the above mentioned Internet-project may entail a high risk of losing invested funds partially or fully.

CRFIN unmasking Delston Capital Ponzi Scheme is not the first of its kind, a few weeks back, Prime FMS company was also marked by the CRFIN, for promising unrealistic returns, with little or no emphasis placed on the risk involve. This prompted the the addition of this firm to the CRFIN black list as the 46th member. The company promises guaranteed profitability without guarantees of paying money funds back and it has signs of a false positioning as a trust-management company.

The regulator also added 22 Groups Ltd to the CRFIN Blacklist as the $% memebr of the infamous black list. The company operates via the web address, and deals with various Forex products, ranging from academics, investing advice and its trading platform. According to the CRFIN report, 22 Group also falsely claims to hold the necessary license to carry out its activities in the region.

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