SECP Warns Public Against Fraudulent Investment Scheme Promoted by “MAG Ventures”
The Securities and Exchange Commission of Pakistan (SECP) has issued a public alert regarding a suspected fraudulent investment scheme aggressively marketed on social media by Syed Mohsin Sultan Shah under the name “MAG Ventures.”
Promises of High “Halal” Profits Raise Red Flags
The scheme attracts potential investors by offering guaranteed monthly profits ranging from 5% to 12%, claiming to invest in meat exports to Gulf countries. It even references a fatwa to gain trust and legitimacy.
Investment packages reportedly start from Rs. 100,000 and go up to Rs. 10 million, with investors promised security via stamp paper agreements and post-dated cheques.
Misleading Expansion Claims
The scheme claims future expansion into diverse sectors, including:
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Real estate
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Supermarkets
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Automotive trade
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Fashion and beauty
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Cafés
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Apple product retail
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Global operations with a so-called headquarters in Dubai
These ambitious promises are part of the ploy to lure unsuspecting investors.
Misuse of Company Registration
To add a false sense of legitimacy, Shah has registered companies under the Companies Act, 2017, including:
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MAG Ventures (SMC-Private) Limited
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MAG Organic Meats (SMC-Private) Limited
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MAG Builders & Developers (SMC-Private) Limited
However, the actual collection of funds is being conducted through the bank account of an unregistered entity called “Galaxy Traders” and cryptocurrency wallets, raising serious concerns.
SECP’s Official Warning
The SECP has made it clear that none of these companies are authorized to:
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Collect public deposits
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Offer investment opportunities
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Operate financial schemes under any legal framework
