Barwaqt Mobile Application provides online loans in Pakistan and claims that the users can get up to Rs.25000 loan online by registering at the application.
Securities and Exchange Commission of Pakistan(SECP) has warned the general public about this application.
SECP has issued a Press Release and informed the general public about the legal status of this application.
Barwaqt Mobile Application claims that this a licensed and registered application to receive and disburse loans online.
But as per SECP Barwaqt Mobile Application is neither registered nor licensed to provide loans online.
This application is hence fake and gets users information like bank accounts, CNIC numbers and mobile numbers and may use in fraudulent activities.
SECP has also warned about International Business Solutions Pvt Ltd which is engaged in a business of attracting deposits from the general public at heavy rates of returns.
SECP has warned the general public that this company is not registered to attract deposits and pay heavy profit rates.
rather this is a fake company like B4U and this may also run away after collecting heavy deposits from the general public.
So the general public must be aware of such fraudulent companies who offer heavier rates of returns or provide loans at low mark-up rates just to attract deposits from the general public and finally they close their offices and run away.
The same happened in the case of B4U.
B4U collected billions of Rupees from the general public and had been paying the heavier rates of return to attract handsome deposits.
People in greed kept on investing in the company and when the company had attracted huge deposits it ran away taking all of the money of the general public.
SECp has taken legal action against Barwat mobile application and this application is no more available on the Google play store.
Whereas SECP has announced to take legal action against international Business Solutions pvt Ltd as well.
Further to this general public must be aware of such companies that offer a heavy rates of return on deposits like Ponzi schemes, pyramids schemes and Multi-Level Marketing(MLM) companies.