
Police identify 7 local promoters in GMCE 'pyramid' scheme
Head of the Police Anti-Scam Centre, Adam Naveed, stated that the local promoters include six men and one woman.
Authorities have yet to identify the primary operators of the GMCE (or GEMCUE) investment scheme, which the police and the Capital Market Development Authority (CMDA) have classified as a Ponzi scheme. However, police have confirmed that seven individuals have been identified as actively promoting the scheme within the Maldives.
Speaking to Atoll Times, Head of the Police Anti-Scam Centre, Adam Naveed, stated that the local promoters include six men and one woman. He said the scheme appears to have originated in the Maldives, with indications of foreign involvement.
“Based on current information, we can say the scheme appears to have started in the Maldives. However, we cannot conclusively say that it was developed by Maldivians alone,” Naveed said.
He also revealed that foreign nationals are suspected to be involved, including individuals from a European country. The specific country has not yet been determined.
The police are working with international law enforcement agencies, including Interpol, to gather further information. Naveed described the GMCE case as a new type of investment scam that is also being observed for the first time in other jurisdictions.
According to Naveed, GMCE has used documents claiming to show it is registered in the United States to build investor trust. However, investigations with U.S. authorities confirmed the registration certificate is invalid and that the company is not registered in any official capacity.
“These types of high-level scams often use fake documents to convince people to invest,” he said.
Naveed also noted that after the joint statement issued by the CMDA and police warning the public about the scheme, GMCE promoters increased their activities, claiming that investments would double on the same day.
However, recent developments have raised concerns among investors, with reports that funds are no longer being withdrawn and administrators of investment groups have restricted communication. Naveed said that the scheme’s operators are telling investors their wallets have been frozen by U.S. agencies, which he described as false.
“This case is not being investigated by any agency other than the Maldives Police. No action has been taken to freeze any GMCE wallets by foreign agencies,” he said.
He added that no legal action has yet been taken against those promoting the scheme locally. Investigations are ongoing, and the police have urged the public to avoid participating in or encouraging others to join such schemes.