The Characteristics Of Illegal Investments That Are Very Obligatory To Be Watched Out For

Illegal Investment Ciri-Ciri (Prakenimages Image - Unsplash)

YOGYAKARTA - In the midst of such a sophisticated era today, there are still many residents who fall into fraudulent investment hoaxes, gambling under the pretext of trading, online investment, to fake trading robots. Even so, the Financial Services Authority (OJK) continues to distribute education to residents to avoid fraud and increase financial literacy, especially safe investment.

For some people, at this time investment activities are no longer foreign because many online investment products can be easily accessible. The majority of people still think that investment is only used by people who have large capital. Meanwhile, there are a lot of investment instruments that can be used without spending a lot of money.

Discussing on investment always seems interesting. Moreover, at this time the issue of investment is more famous, this proves that there are many people who are starting to realize the meaning of investment with the aim of having financial freedom in the future. Of course, everyone wants to invest comfortably and provide a lot of profit returns or returns and normal results in the future.

However, don't just use your funds to make investment, the reason is that there are so many people who offer fraudulent investments to gain their own profits. simply put, the majority of counterfeit investments will offer and lure potential customers with very large returns in practical time.

This fraudulent investment will certainly harm investors because the main capital invested can be at risk of loss and loss. Therefore, you need to be vigilant and understand the characteristics of fraudulent investments that are widely spread out there plus at this time there are many investment procedures such as online investment.

Launching from the OJK website, the main characteristics of fraud under the guise of investment are not having valid licensing documents from relevant regulators such as the Financial Services Authority (OJK), Bank Indonesia, CoFTRA - Ministry of Trade, Ministry of Cooperatives and SMEs, and others.

Based on the existing laws and regulations, currently there are several types of business licenses to collect public funds and investment management:

1. Sourced to Law Number. 10 of 1998 which is the replacement of Law Number. 7 of 1992 concerning Banking, Bank is a business entity that collects funds from the public in the form of savings and distributes them to the public in the form of credit or other forms in order to improve the lives of many people. Each party who raises funds from residents in the form of savings, must first obtain a business license as Bank Indonesia (as information, starting from 2014 licensing and supervision of banks will shift to OJK).

2. Sourced to Law No. 8 of 1995 concerning the Capital Market (Modal Market Law), the Investment Manager's business license is granted by Bapepam and LK. There is also a scope of business activities of Investment Managers including the management of portfolios The impact for customers or managing collective investment portfolios for a group of customers. Funds managed by Investment Managers are invested in Impact instruments as interpreted in the Capital Market Law, namely securities, debt recognition letters, commercial securities, stocks, bonds, debt facts, collective investment contract participation units, futures contracts for securities, as well as each derivative (derivative product) of the Effect.

3. On the other hand, the Business License for the Futures Trading Cup (Palang Berjangka) is given by CoFTRA sourced in Law No. 32 of 1997 concerning Commodity Futures Trading. This business license includes activities related to the sale and purchase of commodities sourced in future contracts on the customer's mandate by withdrawing some money and or certain securities as margins to guarantee the transaction.

Usually the fraud company is in the form of a business entity such as a Limited Company (PT) or a Savings and Loan Cooperative and only has a Deed of Establishment/Corruption of the Company, No Basic Taxpayer (NPWP), a domicile Explanation from the local village head, with business legality in the form of a Trading Business License (SIUP), and a Company Registration Sign (TDP).

Sourced from the Regulation of the Minister of Trade No. 36/M-DAG/Per/9/2007 concerning the Issuance of Trade Business Permits, it is regulated that the Industry is prohibited from using SIUP to carry out activities by collecting residents' funds by offering promises of abnormal profits (money games).

In some cases, it was also found that the community fundraising industry recognized and used other industrial business licenses in its operations.

General Forms Of Illegal Alleged Products Offered

1. Fixed income products, where this product offers fixed (fixed) yields and will not be carried away by the risk of price movements in the market;

2. Deposits that match banking products (stakes or deposits), where some problems are in the form of Delivery Order (D/O) letters or Securities issued by an industry;

3. Investment capital participation, where the funds collected from the community are promised to be placed in more than one financial instrument or in the real zone;

4. Online investment programs via the internet, which promise regular return of investment funds.

So after knowing the characteristics of illegal investment, see other interesting news on VOI, it's time to revolutionize news!