Educate the Masses on Ponzi Schemes – SEC Told

An Economist and Senior Lecturer at the University of Cape Coast, Prof. John Gatsi, has called on the Securities and Exchange Commission (SEC) to properly educate the public on the characteristics of a Ponzi scheme.

He said majority of Ghanaians are influenced by those in authority as well as their role models to participate in these schemes.

Speaking in an interview on GH One TV, he said “It seems our education is very weak and the personalities who participate in this scheme are well known. Some of them are role models to others, some of them are religious leaders, some of them are key figures in society so it becomes very difficult for others who do not have the level of knowledge needed to deter these things to get away from some of these schemes.”

Commenting on the Menzgold issue, he said “If your letter to Menzgold is about licensing, and later the issue is as if you are chasing Menzgold because of a Ponzi scheme then you are not helping the public. The regulator should be very clear, proactive to the people,” he stated.

He further advised the regulators to go beyond warning the public against illegal activities of some companies, but ensure that the market is full of confidence for people to participate.

By: Jennifer Avemee