17 April 2016
Hawks have set their sights on the local arm of an international investment
scheme which has already collapsed in Russia and is apparently on shaky ground
here after attracting millions of South African investors.
Russian fraudster is allegedly the mastermind of the operation, suspected to be
a pyramid scheme.
left millions of Russian investors bankrupt. But the probe by the Hawks, which
also involves crime intelligence police officers, is being hampered by the
magnitude of the scheme.
so-called MMM scheme, founded by
convict Sergey Mavrodi and known locally as MMM
South Africa, entices investors by promising 30 percent profits every month.
week, despite reports the scheme had collapsed, local recruiters denied this
was the case. They were adamant that while two arms of MMM
– MMM Global and MMM Extra – had closed to protect investors’ money,
the South African branch was unaffected.
A recruiter said nearly two million South
Africans had signed up to MMM
since February last year. Hawks spokesman Brigadier Hangwani Mulaudzi said an
inquiry into MMM had been opened.
Labels: Hawks still investigating Russian frauster