PRESS RELEASE

CMA cautions investors against dealing with Interweb Global Fortune

Nairobi, 26 September 2019…In a bid to enhance investor protection and the fair treatment of customers, Capital Markets Authority (CMA) has cautioned the public against participating in Online Forex Trading through Interweb Global Fortune and its director Mr. Manasseh Kuria Karanja.

Preliminary investigations conducted by the Authority have revealed that Interweb Global Fortune has been purporting to carry on business as an Online Forex Trading Broker and Money Manager without a valid license from the CMA in line with Section 23(1) of the Capital Markets Act. In addition to unlawfully collecting funds from investors, Interweb Global Fortune’s business model features traits of a pyramid or ponzi scheme, where investors are promised high returns or dividends which are not realistically available through credible investment products. Investors have also been encouraged to recruit other people for a commission’, CMA Chief Executive, Mr. Paul Muthaura observed.

The Authority’s Capital Markets Fraud Investigation Unit in collaboration with the Directorate of Criminal Investigation conducted an operation against unlicensed and unregulated Online Forex Trading entities in the country. Consequently, the Authority in collaboration with other law enforcement agencies has frozen the company’s bank accounts pending further inquiries.

The investigation further revealed that Interweb Global Fortune has misled investors by claiming that it has applied for a license from the Authority. `Contrary to the entity’s claim, the Authority has never received any application for license to operate as an online forex broker or money manager from the Interweb Global Fortune or its directors,’ Mr. Muthaura added.

Members of the public are encouraged to avoid dealing with unlicensed and unregulated financial entities as they risk being defrauded or losing their money. A list of licensed entities is available on the CMA website www.cma.or.ke. Members of the public who have been affected or become aware of such illegal online foreign exchange are advised to report to the Authority’s Capital Markets Fraud Investigation Unit and/or any police station.

ENDS

BACKROUND INFORMATION ON THE CAPITAL MARKETS AUTHORITY

The Capital Markets Authority (CMA) was set up in 1989 as a statutory agency under the Capital Markets Act Cap 485A. It is charged with the prime responsibility of both regulating and developing an orderly, fair and efficient capital markets in Kenya with the view to promoting market integrity and investor confidence. The regulatory functions of the Authority as provided by the Act and the regulations include; Licensing and supervising all the capital market intermediaries; Ensuring compliance with the legal and regulatory framework by all market participants; Regulating public offers of securities, such as equities and bonds & the issuance of other capital market products such as collective investment schemes; Promoting market development through research on new products and services; Reviewing the legal framework to respond to market dynamics; Promoting investor education and public awareness; and Protecting investors’ interest. For more information, please contact: Antony Mwangi, Head of Corporate Communications on This email address is being protected from spambots. You need JavaScript enabled to view it.

PRESS RELEASE

CMA warns against WIE Limited and Women Investing in Entrepreneurship (WIIE) Public Offering

Nairobi, 2 September 2019…In a bid to enhance investor protection and the fair treatment of customers, Capital Markets Authority (CMA) has cautioned the public against participating in any capital raising and public offer of shares offered by WIE Limited also operating under the name Women Investing in Entrepreneurship (WIIE).

The Authority’s preliminary investigations revealed that WIE Limited has been raising money from the public through a public offer of shares targeting women as their customers and also branding itself as ‘A women’s income and wealth incubator’. ‘WIE Limited business model furthermore seems to have been endorsed by various women celebrities in the country in a bid to lure more women investors’, CMA Chief Executive Mr. Paul Muthaura said.

The Authority noted discrepancies in the information provided in the firm’s website https://www.wiie-wiwi.com and the information given to the Authority by WIE Limited in relation to its operations.

The Authority in collaboration with other law enforcement agencies has frozen the company’s bank account pending further inquiries noting that the nature and features of the capital raising by WIE Limited is taking the form of a regulated activity, which has not been approved by the Authority. Members of the public are therefore urged to exercise caution before participating in any public offer lacking regulatory sanction.

ENDS

BACKROUND INFORMATION ON THE CAPITAL MARKETS AUTHORITY

The Capital Markets Authority (CMA) was set up in 1989 as a statutory agency under the Capital Markets Act Cap 485A. It is charged with the prime responsibility of both regulating and developing an orderly, fair and efficient capital markets in Kenya with the view to promoting market integrity and investor confidence. The regulatory functions of the Authority as provided by the Act and the regulations include; Licensing and supervising all the capital market intermediaries; Ensuring compliance with the legal and regulatory framework by all market participants; Regulating public offers of securities, such as equities and bonds & the issuance of other capital market products such as collective investment schemes; Promoting market development through research on new products and services; Reviewing the legal framework to respond to market dynamics; Promoting investor education and public awareness; and Protecting investors’ interest. For more information, please contact: Antony Mwangi, Head of Corporate Communications on This email address is being protected from spambots. You need JavaScript enabled to view it.

PRESS RELEASE

CMA begins search for Chief Executive successor

Nairobi, 3 September 2019…The Board of the Capital Markets Authority (CMA) has announced the start of a process to identify a suitable candidate to succeed the current Chief Executive Mr. Paul Muthaura, to ensure a smooth transition. The process began today through publication of a job advertisement, which will remain open until 27 September 2019. The position will fall vacant in January 2020 and follows Mr. Muthaura’s recent notice of intention not to renew his contract when it expires on 31 December 2019.

The Cabinet Secretary National Treasury and Planning will appoint a new Chief Executive on recommendation of the Board of the Capital Markets Authority for a four-year renewable contract.

CMA Board Chairman Mr. James Ndegwa observed that the Chief Executive’s role would provide vision and leadership in the regulation and development of Kenya’s capital markets. ‘The future Chief Executive will also be responsible for developing and implementing strategies to effectively address emerging issues, risks and opportunities in the markets to safeguard investor confidence and market integrity’, he added.

Interested candidates can access the detailed job advertisement on the CMA website www.cma.or.ke.

ENDS

BACKROUND INFORMATION ON THE CAPITAL MARKETS AUTHORITY

The Capital Markets Authority (CMA) was set up in 1989 as a statutory agency under the Capital Markets Act Cap 485A. It is charged with the prime responsibility of both regulating and developing an orderly, fair and efficient capital markets in Kenya with the view to promoting market integrity and investor confidence. The regulatory functions of the Authority as provided by the Act and the regulations include; Licensing and supervising all the capital market intermediaries; Ensuring compliance with the legal and regulatory framework by all market participants; Regulating public offers of securities, such as equities and bonds & the issuance of other capital market products such as collective investment schemes; Promoting market development through research on new products and services; Reviewing the legal framework to respond to market dynamics; Promoting investor education and public awareness; and Protecting investors’ interest. For more information, please contact: Antony Mwangi, Head of Corporate Communications on This email address is being protected from spambots. You need JavaScript enabled to view it.

PRESS RELEASE

CMA approves Kenya’s First Green Bond

Nairobi, 15 August 2019…Capital Markets Authority (CMA) has approved the issuance of Kenya’s first unlisted green bond, to be issued by Acorn Project (Two) Limited Liability Partnership following the launch of the Policy Guidance Note on Green Bonds in February 2019.

The green bond seeks to raise Kshs5 billion to finance sustainable and climate-resilient student accommodation and is structured as a restricted public offer for sophisticated investors. Being a restricted public offer, the Issuer will raise the funds from only targeted sophisticated investors ‘The issuance is a critical step in advancing the development of an effective ecosystem to support the establishment of green capital markets in Kenya in line with the Marrakech Pledge 2016, now that the necessary legal instruments are in place to facilitate such issuances’, said CMA Chief Executive Mr. Paul Muthaura. The Authority was one of the pioneer signatories to the 2016 Pledge. The approval will enable the issuer to raise funds to undertake sustainable and climate resilient development.

As per the issuer’s Information Memorandum, the fixed-rate bond is certified as a green bond by Climate Bonds Initiative. Sophisticated investors participating in the bond will benefit from a 50 percent guarantee from Guarantco on principle and interest payments.

Mr. Muthaura added that the Authority will continue engaging with potential issuers in order to create a pipeline of green bond issuers to facilitate effective matching of demand and supply of green-centric capital and climate-resilient investing opportunities.

ENDS

BACKROUND INFORMATION ON THE CAPITAL MARKETS AUTHORITY

The Capital Markets Authority (CMA) was set up in 1989 as a statutory agency under the Capital Markets Act Cap 485A. It is charged with the prime responsibility of both regulating and developing an orderly, fair and efficient capital markets in Kenya with the view to promoting market integrity and investor confidence. The regulatory functions of the Authority as provided by the Act and the regulations include; Licensing and supervising all the capital market intermediaries; Ensuring compliance with the legal and regulatory framework by all market participants; Regulating public offers of securities, such as equities and bonds & the issuance of other capital market products such as collective investment schemes; Promoting market development through research on new products and services; Reviewing the legal framework to respond to market dynamics; Promoting investor education and public awareness; and Protecting investors’ interest. For more information, please contact: Antony Mwangi, Head of Corporate Communications on This email address is being protected from spambots. You need JavaScript enabled to view it.

Sign up for our Newsletter today

Contact Us

Embankment Plaza, 3rd Floor
Longonot Road, off Kilimanjaro Avenue, Upperhill
P.O Box 74800-00200, Nairobi Kenya
Tel: +254 20 2264400/ 2264900/ 2221910/ 2221869
Backup Wireless Lines: 0722 207767/ 020 2611464
Cell: +254 722 207767, Email: corporate@cma.or.ke
Copyright © 2019 Capital Markets Authority, 2018 ISO 9001:2015 Certified. All Rights Reserved.
Joomla! is Free Software released under the GNU General Public License.