UAE's Capital Market Authority Issues Warning on Be Club
The United Arab Emirates’ Capital Market Authority (CMA) has issued a strong warning against **Be Club**, also known as Better Experience, flagging it as a potential securities fraud risk. This warning, dated April 16th, emphasizes that Be Club is not licensed to conduct any regulated financial activities in the UAE.
What This Means for Investors
The CMA’s warning is particularly crucial for investors involved in multi-level marketing (MLM) schemes, urging them to exercise caution. Investors are advised to verify the licensing and legitimacy of any company before engaging in transactions. The CMA has explicitly stated it assumes no responsibility for any dealings involving Be Club, highlighting the risks associated with unregulated entities.
"Investors are strongly urged to verify the legitimacy and licensing status of any entity before entering into agreements or transferring funds to safeguard against potential fraud."
Background on Be Club
Founded in Dubai by notorious figures **Monir**, **Moynul (Moyn)**, and **Ehsaan Islam**, Be Club is a continuation of previous ventures linked to questionable practices. The founders previously promoted **OneCoin**, a Ponzi scheme that collapsed in 2017, prompting their move from the UK to Dubai.
Despite claiming to be based in Dubai, Be Club also lists a mailing address associated with a Delaware shell company. This raises further questions about its operational legitimacy, as the company reportedly has no physical presence in the United States.
Regulatory Landscape in Dubai
Dubai has its own regulatory body, the Dubai Financial Services Authority (DFSA), which has faced criticism for not adequately addressing securities fraud related to MLM schemes. The CMA’s warning intensifies scrutiny on Be Club and similar entities operating within the region, emphasizing the need for regulatory vigilance.
History of Be Club's Operations
Initially launched as **Melius** in 2018, following the downfall of OneCoin, Be Club has gone through several rebranding phases including a name change to Be Factor and later to Be Rules. The current promotional activities focus heavily on **SageMaster**, which is being described as a fraudulent investment scheme embedded within Be Club’s MLM structure.
Warnings regarding Be Club have emerged not only in the UAE but globally, with formal alerts issued by authorities in countries including Quebec, Norway, and Colombia. This widespread regulatory attention underscores the potential risks associated with the company's business model.
Recent Comments from Company Representatives
In January 2025, Moynul Islam attempted to downplay the significance of these regulatory warnings, stating that receiving warnings and fines is common among companies. Such statements may reflect a lack of understanding of the serious implications of operating without appropriate licenses.
Why It Matters
This warning from the CMA emphasizes the potential dangers of engaging with unlicensed MLM companies like Be Club. For distributors, this means heightened scrutiny and potential legal repercussions if they continue to promote unregulated investment opportunities. For consumers, it signifies the importance of conducting thorough research and remaining vigilant to avoid falling victim to fraudulent schemes.
What to Watch For Next
As the CMA continues to monitor Be Club and other similar operations, stakeholders in the MLM community should keep an eye on further regulatory actions and potential developments. Understanding these risks can help protect both distributors and consumers in an industry frequently plagued by fraud.
