|
Information
> This page
Warning from the IMF against financial
schemes misusing its name
In view of widespread and continuing inquiries
from individuals and companies who have been approached by parties in
connection with offers of participation in various financial instruments
and schemes promising high returns and unauthorizedly using the name of
the International Monetary Fund (IMF), the Treasurer of the IMF today
again warned potential investors to beware of such schemes. He had already
issued warnings in the past (see News Brief Number 94/5, published February
23, 1994 and News Brief Number 94/11, published May 13, 1994). Today he
reiterated that the IMF does not issue or guarantee any obligations called
"Prime Bank Notes," "Prime Bank Guarantees," "Bill
of Exchange," or "Bill of Equity," or extend any credit
lines through commercial banks or other agencies. Moreover, the IMF does
not guarantee debentures or other financial instruments issued by a member
country or any other entity. It does not sponsor investment programs,
"high-yield financial programs," or issue to countries or to
outside parties an "IMF Number," "IMF Country Registration
Number," or an "IMF Approval Number for Projects."
Other examples of bogus instruments often
featured in such schemes which unauthorizedly use the name of the IMF
are:
- fictitious stand-by letters of credit--falsely
portrayed as risk-free and sanctioned by the IMF;
- securities allegedly backed by the IMF;
and
- bonds supposedly issued by the IMF.
The IMF is an intergovernmental organization
whose financial transactions and operations are carried out directly with
its member countries and only through a fiscal agency designated by each
member for this purpose (such as the member's Central Bank or its Ministry
of Finance). The IMF does not operate through other agents and it does not
endorse the activities of any bank, financial institution, or other public
or private agency.
More
information is provided in the Member Area
Recommended further reading:
Internet Fraud:
How to avoid Internet investment scams
Prime bank instrument scam
Typical suggestion for a Due Diligence Checklist
Frauds, Phonies and Scams
|
