Forex Trading Scams In Uganda

There have been several instances of Forex trading scams in Uganda, including a company called Global Cryptocurrency Limited that allegedly fleeced investors of billions of shillings. These companies were registered locally but were not properly regulated and the Bank of Uganda did not identify them until they were too late. Many people lost their money. The company usually targets inexperienced clients and will disappear after they have invested.

A company called Dunamiscoins Resources was the latest in a long line of forex scams in Uganda. The firm was owned by four Ugandans and four West Africans and registered in their names. In a recent case, a pastor recruited 270 million Uganda Shillings in customers’ accounts. He convinced others to invest as much as Shs 50 billion. The pastor then told his village members to join the company and deposited the funds into his StanBic account.

The company was operated by a group of West Africans and Ugandans, who recruited members of their communities. The recruits were required to register before the 30 day period was up. They had to provide their ID, driving license, work ID, passport, etc. to get a license to trade forex in Uganda. After registering, they had to deposit the money into a StanBic or Centenary Bank account. The pastor then convinced others to invest Shs 70 million in the company and he made a profit. The firm closed on December 3 and lost Shs 50 billion in customers’ deposits.