Malé, Maldives – Former Parliament Member and owner of King’s Forex Trading Alhan Fahumy has decided to sue Maldives Monetary Authority (MMA) over allegations of running a Ponzi scheme.
Denying the allegations against him and his company, Alhan said that he intends to sue the authority over the loss his company incurred due to the allegations which lead to the company accounts being frozen.
Two former judges Mohamed Haleem and Ahmed Hailam are going to be representing King’s Forex Trading in this case. Regarding the matter, Haleem said that as the Maldivian legislations and regulations do not specifically criminalise forex trading, it cannot be deemed illegal.
“There is no law or regulation that even states that forex traders have to register a fund.” Haleem said.
Hailam added saying, “This is in no means being done by selling shares or securities of the company to raise funds.”
The matter first surfaced as problematic following statements by MMA and the Capital Market Development Authority (CMDA), cautioning the public against Ponzi schemes and fraud.
Since then, Maldives Police Service has also begun investigations into the case.