Banks, Financial Services, Legislation, Lithuania

"We have turned to the Prosecutor General's Office in order to protect public interest. The suspected subject proposes money scheme that could be similar to financial pyramid, said Vilius Sapoka, Director of the Financial Services and Markets Supervision Department of the Bank of Lithuania

The website of company Valiutos Kaupimo Organizacijos provides information about the alleged way to double a chosen amount of money by transferring it to the provided bank accounts and involving new people in to the scheme. Therefore, such activities could be regarded as containing the features of financial pyramid.

Taken into consideration that the model of company Valiutos Kaupimo Organizacijos is based on taking cash from participants, this activity could also contain the features of licensed financial services such as receiving deposits from residents.

Yet the Bank of Lithuania has given the licence for neither a credit institution nor any other financial institutions that could be related with the name Valiutos Kaupimo Organizacijos, thus its activities are not supervised by the Bank of Lithuania.