CSE warns of fraudulent ‘BoMate’ app following investor complaints

The Colombo Stock Exchange (CSE) has issued an urgent public alert following several complaints from investors who were misled into using a fraudulent mobile application named ‘BoMate’. 

The exchange revealed that the application has been using the official CSE logo without authorization to create a false sense of legitimacy, leading unsuspecting individuals to believe it is a sanctioned trading platform. The CSE emphasised that the app is not affiliated with, endorsed by, or connected to the exchange in any capacity, and warned the public to immediately cease any trading activities through the unauthorized platform to protect their capital.

This development follows an earlier warning by the Securities and Exchange Commission (SEC), which identified the app as being promoted by an entity known as Blue Ocean Securities Limited. While regulators had previously noted that no formal complaints had been lodged during the initial stages of the investigation, the recent influx of reports to the CSE suggests that investors are now actively being swindled. 

Officials previously clarified that while the ‘BoMate’ app provides a visual interface that mimics stock trading, the actual funds deposited by users are diverted into private bank accounts and never enter the formal market system.

The CSE has urged the investing public to verify the credentials of any platform or individual before committing funds, noting that all legitimate trading in listed securities must be conducted through an authorized stockbroker firm. Investors are encouraged to consult the official list of licensed trading participants available on the CSE website to avoid falling victim to similar social media-based scams. 

The exchange and the SEC are reportedly continuing their collaboration with law enforcement agencies to track the bank accounts and mobile numbers associated with the scam as part of a broader crackdown on digital financial fraud.