Stay away from MMM! NDIC warns Nigerians
The Nigeria Deposit Insurance Corporation (NDIC) has warned Nigerians especially patronizers of the Ponzi Scheme company, Mavrodi Mondial Movement (MMM) saying it is a non virtual organization.
Speaking while presenting a paper at an ongoing annual workshop for Business Editors and Finance Correspondents Association of Nigeria (FICAN) in Kaduna, Kaduna State, the Director, Special Insured Department NDIC, J.J. Etopidiok said MMM is neither guaranteed nor regulate by any authority in Nigeria adding that anyone investing in it would be ready to bear the risk whenever it occurs.
Etopidiok, who described MMM as being fraudulent and not in tandem with any business model said Nigerian regulatory authorities would not be expected to be regulating such a non virtual organization.
Giving a brief overview of the company he opined,
“As we speak MMM is not a creation of Nigerian environment, in 1994, it entered Russia whereby they were able to defraud about 11 million people and people loss about N1.5 billion and 50 people committing suicide, when Russia Governemnt was about to arrests them, they moved to China committing the same havoc and most of the India have enrollment of about 60 thousand people and when they wanted to arrest them, they also disappeared to South Africa.
They resurfaced in Nigeria sometime October this year, as at the last check, the enrollment in Nigeria was about three million. Why it so difficult for authorities in Russia when it started to cleave their ways was that it doesn’t operate as a virtual currency that is it has no account that you can track it, but somewhere along the line it was able to create a dormy website whereby when you register into it, you will provided with a particular account number any how, where you will be paying money into and after about 30 days, you will be given an extra interest and the circle all over again, mind you the websit warns that you should get into the business with your spare. Don’t sell your houses, don’t sell you cars.
Because there will no guarantee. I think we are expecting the authorities to creat an impossibility by such regulate a non virtual organization”, he warned.
Dwelling on the topic ‘Effect of Falling Oil prices on the Banking sector Performance in Nigeria: MFBs/PMBs perspective, Etopidiok said the regulator has increased strategies to ensure the financial sector’s remains strong.
He noted that the Microfinance/PMB segment holds great potential for economic development, adding that corporation has extended insurance coverage for PMBs to N500,000 per depositor from N200,000.
It has also instituted insurance cover for agency banking, online, mobile money to the tune of N500,000, in efforts to deepen payment system and institute confidence in alternative payment channels.
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