19.11.2012. Press-release. The activity of «MMCIS Investments», LLC bears a doubtful character

The Ukrainian Professional Association for Protection of Investors, Creditors and Insurants (UPAPICI) expresses a concern of an intensive promotional company that conducts the securities trader «MMCIS Investments», LLC (Kiev, Gorky st. 172, office 1216, USREOU code 37717929).

Head of the committee UPAPICI for the protection of investors Igor Khmylewskiy recommends to treat proposals of "MMCIS Investments", LLC with great care. "The system of regulation of securities traders activity in Ukraine and in most countries of the CIS is constructed in such a way that leaves a securities trader with the space for price manipulation, while a contractual relationship with the investor is traditionally arranged so that the trader himself is not responsible for possible losses. There is a high probability that most of the funds raised by "MMCIS Investments", LLC under the promise of 100% per annum, will be lost by the owners and the investors will have no legal basis for the claims to the trader, "- said Mr. Khmylewskiy.

November 5, The Committee of UPAPICI for the protection of investors has given the materials on "MMCIS Investments", LLC for the study to analysts in the rating committee of UPAPICI. The first results of the study are represented by the head of the rating committee of UPAPICI Shapran Vitaliy: "With a 90% chance I can conclude that the activity of " MMCIS Investments", LLC aims to mislead investors. There are several compelling signs, the main one is the aggressive advertising that does not correspond to the current potential of our market. So, "MMSIS Investments", LLC reports that the yield of 100% per annum is a reality for their investors. Taking into account that the company "MMCIS Investments" can offer the investors only the investments in the Ukrainian securities market, in the current situation, the promise of a 100% yield per annum is a blatant lie. I remind you that for the first 9 months of 2012 the UX index has fallen by 42.52%, the PFTS index has fallen by 42.82%, the composite index on investment funds SIF, which is calculated by our colleagues, has decreased by 11.0%. According to the results of our monitoring, in the ranking of funds by returns over the last 52 weeks the most profitable fund in Ukraine has brought 15% per annum to its investors. We can assume that the management of "MMCIS Investments", LLC has found "Eldorado" somewhere in our market, but due to the fall of the whole market, the key market indicators and the general decline in business activity, the probability of such a development is negligible. Now the committee examines the statements of issuers whose securities are offered by "MMCIS Investments", LLC to its investors. For us, the disparity of their advertising to opportunities in our market - it is already an established fact, and now we collect the evidence that "MMCIS Investments", LLC is trying to build a pyramid scheme on the basis of the garbage class securities. When identifying facts of manipulation, the materials will be immediately handed over to the competent authorities, and in the meantime we would advise people to refrain from using the services of LLC "MMSIS Investments".

The head of the Council of UPAPICI Eugene Petryk emphasized that investigating of the activity of "MMCIS Investment", LLC, the Association carries out its constitutional responsibilities, trying to protect the population from the investment proposals of dubious nature. "Unfortunately, the analysis of the reaction of government authorities to the activity of MMM and our observations of the Company "MMCIS Investments" show that in Ukraine there is no operative system to respond to attempts to raise money from the public under the promise of high yield. It takes up to six months before the state authorities respond to such "offers", while the population suffers. At the time of creating our application the National Securities and Stock Market Commission has already announced that it will start checking the Company "MMCIS Investments" and the National Commission for Regulation of Financial Services Market is working on the Law of Ukraine "On prohibition of pyramid schemes". We hope that Ukraine will establish criminal liability for this kind of operation, which will increase the security of our market from these events, "- said Eugene Petryk, the Head of the Council of UPAPICI.

The Council of Ukrainian Association for Protection of Investors, Creditors and Insurants


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