SECP warns against Etihad Auto Solutions' fraudulent car financing schemes

The Securities & Exchange Commission of Pakistan (SECP) has issued a warning regarding an unincorporated entity, Etihad Auto Solutions, offering car financing schemes with misleading tactics. This entity, along with its associated company, Etihad Auto Solutions (Private) Limited, has been falsely claiming to provide car financing services with attractive terms. The sponsors of these entities have attempted to deceive the public by establishing a company with a similar name to a legitimate one, aiming to mislead unsuspecting individuals.

SECP has identified that the website https://etihadautosolutions.com/ is being used to promote this deceptive scheme. It is crucial for the public to be aware that Etihad Auto Solutions (Private) Limited is not a registered Non-Banking Finance Company (NBFC) with SECP, despite their claims. As a result, SECP strongly advises against engaging with M/s Etihad Auto Solutions (Private) Limited and/or Etihad Auto Solutions in any capacity.

SECP has taken decisive action against these entities, including shutting down their operations and involving law enforcement agencies to address this fraudulent activity. It is essential for individuals to understand that a company's 'Certificate of Incorporation' solely signifies its registration with SECP and does not authorize the collection of deposits or the introduction of investment schemes.

It is imperative for the public to exercise caution when engaging with financial services providers and to verify the legitimacy of companies offering such services. SECP's swift action against Etihad Auto Solutions serves as a reminder of the importance of due diligence and vigilance in financial transactions. By staying informed and cautious, individuals can protect themselves from falling victim to fraudulent schemes and unauthorized financial activities.