Headline

Red flags! Seven Ways To Identify A Ponzi Scheme

Published

1 year ago

May 6, 2025

Investing is one of the best ways to grow your money, but it also comes with risks, especially when scammers are involved. One of the most dangerous and common scams today is the Ponzi scheme.

Contents

1. High Returns with Little or No Risk

2. Not Registered with Any Financial Authority

3. Little or No Information About the Business Model

4. Payments Are Made Using Money from New Investors

5. It Relies Heavily on Referrals and Downlines

6. You Have Trouble Getting Your Money Out

7. It Has a Strong Cult-Like Following

It looks like a normal investment at first, but it’s a trap that uses people’s money to pay old investors, until everything collapses. Here are some ways to identify a Ponzi scheme before it steals your hard-earned money.

1. High Returns with Little or No Risk

One of the biggest red flags of a Ponzi scheme is that it offers huge profits in a short time and claims there’s no risk at all. Real investments always have some level of risk. If someone tells you that you’ll get 40% returns every month with “zero risk,” that’s a lie and a likely sign of fraud.

2. Not Registered with Any Financial Authority

Legit investment companies are registered with government bodies like the SEC in the U.S. or the Corporate Affairs Commission (CAC) in Nigeria. A Ponzi scheme avoids regulation so that it can operate under the radar. Always check if the company is officially registered before giving them your money.

3. Little or No Information About the Business Model

A common trick used by Ponzi scammers is to be vague about how the money is actually made. They may use complicated words like “crypto arbitrage” or “forex auto-trading” without explaining the process clearly. If you don’t understand how the business works after asking questions, it’s likely a Ponzi scheme.

4. Payments Are Made Using Money from New Investors

In a Ponzi scheme, early investors get paid with the money brought in by new investors, not from actual profits. This makes the system look like it’s working at first. But once new investors stop joining, the scheme crashes, and everyone loses their money.

5. It Relies Heavily on Referrals and Downlines

If the company pressures you to bring in more people and promises to pay you based on the number of people you recruit, be cautious. This setup is very similar to a Ponzi scheme. Real investments don’t depend on bringing in new investors to stay afloat.

6. You Have Trouble Getting Your Money Out

When it’s easy to put your money in but difficult to withdraw it, that’s a serious warning sign. Some Ponzi schemes delay or deny withdrawals with excuses like “system upgrades” or “high traffic,” especially when many people try to collect their money at once.

7. It Has a Strong Cult-Like Following

If everyone in the group blindly defends the investment, shuts down questions, and treats the founder like a hero, that’s another red flag. Ponzi schemes often use hype and emotion to trap people.

A Ponzi scheme can happen anywhere, online or offline, in any country or currency. The key to protecting yourself is to stay alert, ask questions, and never be in a rush to invest.

Headline

Woman Passes Out After Receiving 100 Strokes Of Cane

Published

4 days ago

May 24, 2026

Editor

A woman has passed out after she and her partner were each flogged 100 times in public for engaging in sex outside marriage under strict Sharia laws in Indonesia’s Aceh province.

The woman, whose identity was not disclosed, was later carried away after the punishment was carried out in Banda Aceh, located at the northern tip of Sumatra island on Thursday.

A masked official dressed in brown robes administered the caning before members of the public who gathered to witness the punishment.

Her partner was also seen wincing in pain while receiving the lashes.

The pair were among several individuals punished for violating Sharia regulations in the province.

Authorities from the Banda Aceh Sharia Court and the Prosecutor’s Office handed down punishments ranging from 25 to 100 lashes for offences including extramarital sex allegedly arranged through online applications.

Aceh remains the only province in Muslim-majority Indonesia operating under Sharia law, where unmarried couples are prohibited from having sexual relations.

Caning is commonly used in the province as punishment for offences such as gambling, alcohol consumption, same-sex relations and sex outside marriage.

Under Aceh’s Sharia regulations, child rape offenders face some of the harshest penalties, including up to 200 strokes of the cane, a prison sentence of as long as 200 months or fines equivalent to two kilograms of gold.

The punishments are usually carried out publicly as a way of shaming offenders in addition to inflicting physical pain.

Such canings are often conducted outside mosques or in open public spaces, with residents watching and taking photographs during the exercise.

Human rights organisations have continued to condemn the practice, arguing that it causes emotional trauma and violates international human rights standards.

Amnesty International and Human Rights Watch have repeatedly criticised the punishments, saying they conflict with Indonesia’s constitution and global legal obligations.

Amnesty said in a statement: “Caning contravenes Indonesia’s constitution and is in clear violation of international human rights law and standards.

‘It constitutes a cruel, inhuman and degrading punishment and can amount to torture in violation of the UN Convention against Torture and other international covenants, to which Indonesia is a State Party.’”

Despite the criticism, local authorities have defended the punishments as part of Aceh’s religious and cultural identity, insisting they serve as a deterrent against immoral behaviour.

Earlier in January, another couple in the province reportedly received 140 lashes each after being found guilty of drinking alcohol and engaging in sex outside marriage.

(Daily Mail)

Headline

Senegal’s President Sacks Prime Minister After Months-long Feud

Published

4 days ago

May 24, 2026

Editor

Senegal’s President Bassirou Diomaye Faye has sacked Prime Minister Ousmane Sonko and dissolved the government following months of rising political tension between the two former allies.

The decision was announced in a surprise decree read on national television by a presidential aide, stating that Faye had “ended the duties” of Sonko and “consequently those of the ministers and secretaries of state who are members of the government”.

Sonko, who remains a highly influential figure among Senegal’s youth, responded on social media, saying he would “sleep with a light heart”.

The political fallout comes at a time of growing economic strain in the country, with the International Monetary Fund (IMF) putting Senegal’s public debt at 132% of its GDP.

His removal followed a tense parliamentary session on Tuesday, where Sonko openly criticised President Faye’s handling of the debt situation.

The development is striking given that Faye’s rise to power was largely tied to Sonko’s popularity and political backing.

Sonko would almost certainly have contested the presidency himself in 2024, but was barred from the race due to a defamation conviction. Instead, he threw his support behind Faye, rallying voters with the slogan “Diomaye is Sonko, Sonko is Diomaye”.

The alliance helped unseat former President Macky Sall in a dramatic electoral victory, despite both men having been released from prison only days before the vote.

Tensions between the two leaders had been building for months, with Faye reportedly accusing Sonko of excessive dominance within the ruling Pastef party, while Sonko accused the president of weak leadership and failing to defend him against critics.

(BBC News)

Headline

Six Nigerians Arrested In Thailand Over AI-Powered Romance Scam

Published

4 days ago

May 24, 2026

Editor

Six Nigerian nationals have been arrested by the Thailand Police Force for allegedly operating an AI-powered deepfake romance scam syndicate from a luxury condominium along the Chao Phraya River in Nonthaburi Province, following a cocaine trafficking investigation that exposed their activities.

Thai authorities said the operation began after police arrested a Nigerian suspect identified as Patrick and three associates in April over alleged drug trafficking offences. During the raid, officers reportedly seized assets valued at about 2.5 million baht.

Investigators said financial transactions linked to the suspects led them to several foreign nationals living in a high-end riverside condominium near Phra Nangklao Bridge in Nonthaburi. Police discovered that many of the occupants were staying in groups of five or six per apartment under student visas despite not being enrolled in any educational institution or engaged in lawful employment.

According to Thai police, officers executed search warrants on three condominium units on May 22. The suspects allegedly refused to open their doors, forcing authorities to break into the apartments.

Videos circulating on X captured the moment police officers forcefully gained entry into one of the apartments before arresting the suspects.

During the operation, one suspect reportedly attempted to escape by climbing over a balcony, while another was found hiding on the bathroom floor while allegedly sending warning messages to occupants in neighbouring units.

Police recovered 18 mobile phones, three laptop computers and three bank passbooks from the apartments. Authorities said some of the phones were still logged into active conversations with victims at the time of the raid.

Investigators alleged that the syndicate specialised in romance scams targeting older Thai women by using AI-generated faces and manipulated video calls to create fake online identities.

The suspects allegedly posed as pilots, United States military officers, doctors and engineers to gain the trust of victims before requesting money under false pretences.

Police said the fraudsters typically claimed that valuable packages or gifts sent to victims had been withheld by customs officials and required payment of clearance fees before release.

Authorities also said they recovered scripts for sexually explicit conversations allegedly used to emotionally manipulate victims into transferring funds. Investigators claimed the group relied heavily on artificial intelligence technology to generate realistic Western faces for fake video interactions.

Thai police said all six suspects are currently facing preliminary charges bordering on illegal association and immigration overstay, while additional fraud and romance scam charges are expected to follow as investigations continue.