- The Gauteng High Court has frozen R4.5 million across 19 accounts linked to Trouva.
- Trouva promised daily returns of 20 to 50% for 44 days, then demanded R2 650 to unlock withdrawals.
- The NCC urges the public to avoid schemes that focus on recruitment and promise unrealistic profits.
Trouva claimed to offer investment opportunities in furniture products. However, behind the scenes, it was running a multiplication scheme, which is illegal under section 43(3)(a) of the Consumer Protection Act. The National Consumer Commission (NCC) stated that Trouva’s promises were meant to trap people.
Participants could start investing with as little as R100. Using Trouva’s “BW Product Chart,” they could choose packages priced between R98 and R1720. Each package promised daily earnings of 20% to 50% for 44 days. The more participants invested, the more they were told they would earn.
Trouva provided multiple bank accounts for deposits. After payment, participants accessed a digital wallet through Trouva’s app. Daily earnings showed on the screen, but when they attempted to withdraw funds, they faced blocks. “I clicked withdraw and received a message saying I had to pay R2 650 to verify my identity,” said one affected consumer. “They never mentioned that fee when I joined.”
The NCC noted that Trouva’s model depended on constant recruitment. Participants were encouraged to bring in new members, with promises of bonuses and quicker payouts. The scheme spread through WhatsApp, Facebook, and in-person events.
“This was not a business,” the NCC stated. “It was a multiplication scheme disguised as an investment. Trouva used fake products and fake profits to attract real money from real people.”
The Gauteng High Court has granted a preservation order that freezes R4 508 940.39 held in 19 bank accounts associated with Trouva. The case has been referred to the National Prosecuting Authority’s Asset Forfeiture Unit.
NCC calls for vigilance and accountability
The NCC advises consumers to be cautious and hold schemes accountable. Consumers should be wary of investment offers that promise quick profits or rely on recruitment. “If a scheme promises daily profits of 50%, ask yourself how that is sustainable. Real investments do not depend on recruitment or hidden fees.”
Under the Consumer Protection Act, multiplication schemes are illegal. Any offer that guarantees returns 20% above the REPO rate is prohibited, no matter how it is presented.
Before investing, consumers should research the company, verify its products, and consult a financial advisor. If a scheme pressures you to recruit others or pay extra fees, it is best to walk away. The NCC remains committed to protecting consumers and dismantling fraudulent schemes that take advantage of economic desperation.
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