The Financial Services and Markets Authority (FSMA) issued a public warning against Derwent Investments, which it says is engaging in unauthorized activities in Belgium and is not permitted to provide investment services in the Belgian market. The FSMA advised consumers not to respond to any financial services offers from the firm and not to transfer money to any account it may provide, noting that the proposed activities could be fraudulent and consistent with boiler room fraud. The warning reiterates how boiler room schemes typically operate, including unsolicited approaches to consumers and the marketing of a broad range of products and services such as management accounts, term deposit accounts, investment advice and crowdfunding investments. The FSMA described a pattern in which victims are enticed with an initial small investment that appears profitable, then pressured into larger follow-on payments, while withdrawals are blocked unless additional payments are made, ultimately resulting in losses and inability to recover invested funds; it also pointed readers to its 11 December 2024 general warning on boiler room fraud and to the FSMA website tools for checking whether a proposed transaction complies with financial legislation.
Belgium Financial Services and Markets Authority 2025-01-29
Belgium's Financial Services and Markets Authority warns against Derwent Investments over unauthorized investment services and suspected boiler room fraud
The Belgium Financial Services and Markets Authority (FSMA) warned against Derwent Investments for unauthorized activities, advising consumers to avoid the firm. The FSMA noted the firm's operations resemble potentially fraudulent boiler room schemes involving unsolicited offers and investment pressure. Consumers should consult FSMA resources to verify compliance with financial legislation.