A new global alerts portal has been launched by the International Organization of Securities Commissions (IOSCO) to help fight against investment fraud. The platform, known as the International Securities & Commodities Alerts Network (I-SCAN), serves as a centralized warning system for investors, online platform providers, and financial institutions to verify if any suspicious activities have been reported regarding a specific company by financial regulatory authorities around the globe.
I-SCAN is a key component of IOSCO’s Roadmap for Retail Investor Online Safety, a comprehensive initiative initiated in November of the previous year that encompasses various phases of action. The introduction of this portal marks the latest effort under the second phase of this strategic plan.
Investment fraud continues to rise at an alarming rate, with yearly losses amounting to billions of dollars due to fraudulent acts or deceptive information. The urgency for conducting thorough investigations before making investment choices has never been more crucial.
The I-SCAN platform allows investors and interested parties to efficiently locate firms or investment opportunities that have been flagged as unlicensed or scams, whether domestically or internationally, thereby potentially shielding them from fraudulent schemes. Alerts generated by financial regulators will be published directly on the I-SCAN platform, ensuring that all users and investors have access to vital information from anywhere around the world.
The Secretary General of IOSCO emphasized that the establishment of this centralized hub—encompassing alerts from over 150 regulators worldwide—represents a significant step toward enhancing investor protection. I-SCAN is anticipated to support IOSCO members in their enforcement actions while assisting online service providers to tackle online dangers faced by retail investors.
This initiative reflects a broader commitment to creating a safer investment landscape, equipping stakeholders with the tools necessary to make informed decisions and avoid falling victim to fraudulent schemes. The establishment of I-SCAN highlights the ongoing collaborative efforts of global regulators to enhance transparency and bolster protections for investors across borders.