SECP Warns Against Fraudulent Activities Related to Barwaqt App
The Securities and Exchange Commission of Pakistan (SECP) has issued a public warning against fraudulent activities linked to the Barwaqt App. The app was operated by Seedcred Financial Services Limited (SFSL), which is now non-operational.
The Barwaqt App was delisted by the SECP in August 2024. However, SECP has received multiple complaints about fake agents using social media to target past users. These individuals claim they can erase or modify loan default records maintained by SFSL and reported to credit bureaus.
The scammers are charging money for these services, which the SECP has declared completely illegal. Such activities are being carried out without any legal backing or authorization.
In a statement, the SECP clarified that only registered members of credit bureaus can update or report loan-related information. This is clearly stated in the Credit Bureau Act, 2015. No private individual or unregistered party has the power to change credit history data.
The SECP has advised the public to avoid making any payments to such individuals. Anyone who receives such offers should report them to the relevant authorities immediately.
“The public is strongly cautioned not to fall for these scams,” the SECP said. “These fraudulent agents are exploiting vulnerable borrowers for personal gain.”
The commission is closely monitoring the situation and may take legal action against those involved in such practices. It also reminded financial app users to verify the status of any lending platform before engaging in any transactions.
The SECP continues its efforts to safeguard consumers from financial fraud and urged citizens to stay alert and informed. More information can be obtained through SECP’s official website and helpline.
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