Central Bank of Lesotho Issues Urgent Warning Against Four Illegal Investment Schemes

 The Central Bank of Lesotho (CBL) has issued an urgent public warning over the rise of fraudulent financial institutions and illegal investment schemes operating within the country.

In a statement released on 25 June 2026, the central bank cautioned Basotho against individuals and entities soliciting deposits from the public while promising exceptionally high and unrealistic returns on investment.

According to the CBL, some of these operators have falsely claimed to possess valid regulatory licenses in an attempt to gain public trust and encourage people to deposit funds.

“Several institutions are operating illegally and misleading members of the public by claiming to be licensed by the Central Bank of Lesotho,” the bank said.

Four Schemes Blacklisted

The Central Bank specifically named four entities that are not licensed to operate in Lesotho and warned the public to avoid any dealings with them:

• SGK Investment Scheme (also known as SGK Platform or SGK Elite)
• Prestige Wealth Investments
• Lengau People Society
• Prime Aura Platform

The regulator emphasized that none of these entities holds a valid license issued by the Central Bank of Lesotho, regardless of any claims they may make.

Public Urged to Verify Before Investing

To protect themselves from financial fraud, the CBL urged members of the public to exercise caution before investing or depositing money with any institution.

The bank advised prospective investors to:

1. Request proof of licensing before investing any funds.
2. Verify licenses independently with the Central Bank rather than relying solely on information provided by the institution.

“Members of the public are strongly advised to avoid such schemes and any financial institution operating without a valid CBL license,” the statement said.

How to Verify a Financial Institution

The Central Bank has encouraged the public to confirm the legal status of investment advisors and financial institutions through the following channels:

Website:
centralbank.org.ls/other-financial-institutions-2/

Telephone:
+266 22232461
+266 22232429
+266 22232517
+266 58880647

WhatsApp:
+266 58880647

The public can also access updates and official notices through the Central Bank of Lesotho’s Facebook page.

Growing Concern Over Investment Scams

The warning comes amid increasing reports of unregulated investment schemes targeting citizens with promises of quick profits and guaranteed returns. Financial experts consistently warn that offers promising unusually high returns with little or no risk are often indicators of fraudulent activity.

The Central Bank reiterated its commitment to protecting consumers and maintaining confidence in Lesotho’s financial system, urging the public to remain vigilant and report suspicious financial activities.

Lesotho NewsDesk reminds readers to conduct thorough due diligence before investing and to remember a simple rule: if an investment opportunity sounds too good to be true, it probably is.