The B.C. Securities Commission is warning investors about Internet-based high-yield investment promotions targeting British Columbia residents.
Recently, the BCSC became aware of three entities – Lucra Fund, Profitable Sunrise, and Goldenarium – offering unregistered, high-yield investments through e-mail, social media channels, and their own websites.
On March 11, 2013, the commission became aware of Lucra Fund, after a BCSC staff member received a promotional e-mail. The sender of the e-mail wrote that Lucra Fund offered 5.5% daily returns, and promised a referral commission. The Lucra Fund website stopped working soon afterwards.
On March 12, 2013, the BCSC issued an Investor Alert about Profitable Sunrise, an entity that claimed to provide short-term bridge loans that would pay a “risk free” return of between 1.6% and 2.7% per business day on a 180- to 240-day term.
Regulators across North America issued similar alerts, and the North Carolina Securities Division issued a Temporary Order to Cease and Desist against Profitable Sunrise and its agents. The BCSC also received reports that BC residents wired money to Profitable Sunrise.
On March 19, 2013, BCSC staff became aware of what appears to be a BC-connected promotion of Goldenarium through Twitter. Similar to Profitable Sunrise, this high-yield investment promotion offered a minimum investment of $10 and high daily returns. It also offered a referral fee.
The Goldenarium website no longer works, and people on numerous Facebook pages connected to the scheme are questioning whether the entity will reactivate its website.
The BCSC contends that the returns offered by all three of these entities are so high that they cannot be earned through legal means. The commission urges BC residents to use extreme caution if approached by anyone offering this type of investment.
Investors, agents or members of the public who have been approached by or have information about Profitable Sunrise, Lucra Fund, are Goldenarium are encouraged to contact the BCSC Inquiries line at 604-899-6854 or 1-800-373-6393 (toll free) or through email at [email protected].
Last month, we ran a four-part blog series to raise awareness around the financial abuse of elders. Even though June 15 is officially World Elder Abuse Awareness Day, we want to reach out to let people know there is information available to them year-round. One great example is the City of Surrey’s Seniors Advisory and […]