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CMA adds extra layer of scrutiny to shield investors from fraud at bourse

The East African Monday December 21 2020 Summary Over the past six years (2014-2019) the number of cases of fraudulent activities in the capital markets reported to the market regulator has risen by 59 per cent from 22 to 35. Advertisement Kenya’s Capital Markets Authority (CMA) is now taking on a more active role in stemming a rise in fraudulent activities targeting unsuspecting investors on the Nairobi Securities Exchange (NSE). The CMA has decreed that, “In order to counter the frauds, the Capital Markets Fraud Investigation Union (CMFIU) has engaged the market intermediaries and agreed that before any transactions take place, the documents involved should be availed to CMA for scrutiny and authentication.”

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