Belgium’s Financial Services and Markets Authority (FSMA) has received an increasing number of reports of dubious WhatsApp groups, through which fraudsters share so-called exclusive investment tips or promote fraudulent trading apps.

Consumers find advertisements on social media (often Facebook or Instagram) for WhatsApp groups where, it is claimed, exclusive analyses of financial markets and profitable investment tips are shared. These advertisements are often published via pages that fraudulently use the name and logo of well-known banks and news services. These are cases of identity theft.

Consumers who click on the advertisement are added to WhatsApp groups. These groups are managed by people who pose as prominent economists or CEOs of investment firms. These are also cases of identity theft.

In these WhatsApp groups, consumers are encouraged to participate in lotteries. This is most likely a way to obtain consumers’ personal data. In addition, consumers are urged to purchase specific American listed shares. The aim appears to be to manipulate those share prices. This is also known as a ‘pump and dump’ operation. Lastly, these WhatsApp groups also promote fake applications for trading in cryptocurrencies.

The FSMA notes that the fraudsters who manage the WhatsApp groups often pretend to be economists, people from the academic or business world, and well-known figures. The regulator has received reports of identity theft involving the following people:

• Colmant Bruno
• De Bondt Jan
• De Bondt Werner
• Guenter Thomas
• Hendelman Sean
• Lynch Peter
• Mckay Randy
• Noels Geert
• Praet Peter
• Rutsaert Nicolas

In addition, the fraudsters also claim that they work for authorized (often foreign) financial service providers, in particular:

• Bolero (KBC Bank NV)
• Loomis Sayles (Netherlands) B.V.
• SFM UK Management LLP
• Universa Investments LP
• Williams Jones Wealth Management LLC

These WhatsApp groups have, in fact, no connection whatsoever with authorized institutions.

Consumers also reported that they were referred to a company called Nanolite Foundation, which uses the website nanolite-foundationnlf.com.

The managers of the WhatsApp groups also try to persuade consumers to download fake applications, such as:

• BLRKX
• GS FLUX
• LSCINV
• NLF INT
• SFM VALOR
• SXMKT
• UNIVLP

The FSMA has added these companies to the list of companies that are operating unlawfully in Belgium. Please note, the list is not exhaustive.