LWS Trading, RK3 Pacific Tonga Ltd shut down by regulator following customers’ complaints

Tonga’s sole financial regulator has closed LWS Trading and RK3 Pacific Tonga Ltd and filed complaints against them with Police.

It is understood LWS Trading was based in Tonga and was operating in partnership with RK3 Pacific Tonga Ltd which described itself on Facebook as having offices in New Zealand and Australia.

The companies’ services included transferring money from overseas to Tonga.

The news comes after Kaniva News published a story earlier this week raising complaints by customers of LWS Trading about their services.

Complainants alleged LWS office repeatedly told them their money has either yet to be received in Tonga or that a staff was sent to the bank to withdraw more cash while they were waiting.

The clients said they had to return home due to long waiting hours with no sign of the staff before they left.

Some complainants claimed it took weeks before they received their money while others alleged they were given differing excuses by the company.

In a statement this morning, the National Reserve Bank of Tonga (NRBT) said it wishes to inform the public that LWS Trading and RK3 Pacific Tonga Ltd operating from Ma’ufanga, have to date, engaged in unauthorized foreign exchange services, in contravention of the Foreign Exchange Control Act 2018 (FEC Act).

“Providing money transfer services is classified as foreign exchange services, which are legally restricted to Authorized Persons holding a valid license issued by the Reserve Bank, as specified in section 13(1) of the FEC Act 2018”, it said.

It also said LWS Trading and RK3 Pacific Tonga Ltd operators have been directed to immediately cease all unauthorized activities and apply for the requisite license from the Reserve Bank.

“This matter has also been reported to the Ministry of Police to ensure swift compliance and to facilitate any necessary legal actions.

“For Customers Affected by LWS Trading Operations and RK3 Pacific Tonga Ltd Customers who have been affected by the activities of LWS Trading and RK3 Pacific Tonga Ltd are encouraged to
contact the Non-Banks Unit through telephone 24 057 or mobile 8701460.

“NRBT is committed to assisting affected customers in addressing their grievances and providing necessary support during this period. Please reach out to us for assistance and further information.

The Reserve Bank again reminds the members of the public to refrain from transacting with any unauthorized foreign exchange business”.

Sometimes when a business is growing, it needs a little help.

Right now Kaniva News provides a free, politically independent, bilingual news service for readers around the world that is absolutely unique. We are the largest New Zealand-based Tongan news service, and our stories reach Tongans  wherever they are round the world. But as we grow, there are increased demands on Kaniva News for translation into Tongan on our social media accounts and for the costs associated with expansion. We believe it is important for Tongans to have their own voice and for Tongans to preserve their language, customs and heritage. That is something to which we are strongly committed. That’s why we are asking you to consider sponsoring our work and helping to preserve a uniquely Tongan point of view for our readers and listeners.

Latest news

Related news