Securities and Futures Commission (SFC) Warns Against Scams Claiming Investor Compensation Fund Claims

BlockBeats News, May 19, the Securities and Futures Commission (SFC) of Hong Kong has urged the public to stay highly vigilant against a sophisticated scam involving the misuse of the Investor Compensation Fund (ICF), which often leads to victims suffering a secondary loss.

The SFC stated that it has recently received reports of fraudsters contacting individuals who have previously suffered investment losses (usually through scams orchestrated by the same fraud syndicate), falsely claiming that the victims are eligible to recover their losses through the Compensation Fund.

In these scams, the fraudsters typically impersonate SFC officials or legal professionals, claiming that by paying an additional "deposit" or "fee," the Compensation Fund can arrange for a "refund." Many victims have fallen for this secondary fraud.

If the public has any suspicion about the identity of anyone claiming to arrange compensation for investment losses, they should directly contact the Investor Compensation Company Limited or the SFC through official channels.