In a weekend that was quite eventful for the MMM faithful, the upper legislative chamber, the Senate, has come out with its strongest statement yet on the MMM scheme. Through its committee on Banking, Insurance and other Financial Institutions, the law-making body labelled the scheme as a ‘pyramid that would soon burst’.
Warning Nigerians against the scheme, the Chairman and other members of the committee were equivocal about their abhorrence of the scheme. This is what they said.
“Any Financial institutions of any kind that is not under the regulation of a Regulator such as MMM is a pyramid that will soon burst. We engaged the CBN and they have issued a statement in the recent past. So Nigeria should be wise and know that there is no free money anywhere. One wonders which investment can yield 30% flat any where in the world,”- Senator Rafiu Adebayo Ibrahim (Chairman, Committee on Banking, Insurance and other Financial Institutions)
“It is important for members of the Public to know this fact. MMM could be called a wonder bank. Over 5 to 40 million people lost up to $10billion in the 90s when it was introduced. The company was shut by Russian Police in 1994 and declared bankruptcy in 1997… Some unscrupulous Nigerians are capitalizing on the current economic hardships to defraud unsuspecting Nigerians by encouraging them to part with their hard earned money with mouth-watering interest or returns.
“MMM does not contribute or add value to the economy because the records of such transactions are not kept and not made open to the public or regulatory authorities. It is a product of fraud and nothing good comes from fraud.” – Senator Gbolahan Dada, (Member, Committee on Banking, Insurance and other Financial Institutions)
“First and foremost, every Nigerian has the right to embark on any investment, it is a choice of anyone. The question is, is MMM real, is it actually threatening the financial institutions in Nigeria; is it posing a security threat and is it capital flight? Those questions need to be looked into. I believe that it is the consequence of recession, it is not MMM, but about the desperation of Nigerians looking for survival and nobody needs to be blamed.
“If we see the kind of people that patronize MMM, they are civilized, educated people who actually know the consequences of failed investment, but they still take the risk and go into it. The only advise I can give them is to be careful, they have the right to go into it, it is their right, but they must be careful.”- Senator Adesoji Akanbi (Member, Committee on Banking, Insurance and other Financial Institutions)