Fleet Mutual Wealth, MWF Operating Pyramid Scheme, Regulators Charge
Fleet Mutual Wealth Limited and MWF Financial Limited (collectively known as Mutual Wealth) operate an emerging, fraudulent pyramid scheme masquerading as an international investment firm, according to a complaint filed by the Securities and Exchange Commission.
Through its website, social media accounts, and numerous promoters, Mutual Wealth has made and continues to make numerous fraudulent misrepresentations designed to lure investors into setting up accounts and depositing funds, according to the SEC.
Mutual Wealth claims to invest customer funds using an innovative high-frequency trading strategy that allows capital to be invested into securities for no more than a few minutes, according to the complaint.
Mutual Wealth promises its investors guaranteed returns of 2%-3% per week, according to the SEC. Mutual Wealth also encourages existing investors to become “accredited advisors” and recruit new investors in exchange for a referral fee or commission, according to the complaint.
Mutual Wealth has a referral program that operates as a pyramid scheme that allows investors to refer others to Mutual Wealth and earn a percentage of their investments, plus a percentage of the supposed earnings on those investments, according to the SEC.
Ordinary investors allegedly receive a 3% commission for referrals, but for “accredited advisors,” Mutual Wealth offers three compensation tiers depending on the total investment or number of accounts of new investors.
“If the regulators are right and Mutual Wealth was a pyramid scheme, it is likely a substantial part of the investors’ money may be gone,” said attorney Jason Kane. ”An unfortunate feature of pyramid schemes is that, by the time they are shut down, there typically isn’t much money left to recover for investors,” said attorney Joe Peiffer.
Attorneys Jason Kane and Joe Peiffer often represent investors in fraudulent investment programs such as Ponzi schemes or pyramid schemes.
Investors who believe they lost money as a result of investment misconduct or fraud may contact attorneys Jason Kane or Joe Peiffer, toll free at (585) 310-5140, for a free, no-obligation discussion about their legal options to seek compensation for their losses.