Scam warning: FMA cautions Kiwis against investing in StrykerFusion schemes, owner David Sevelle banned from financial services

New Zealanders are being cautioned against investing money in an Australian man’s business scheme promising big and quick returns.

The Financial Markets Authority (FMA) says: “We recommend caution when dealing with StrykerFusion or anyone promoting its products or services”.

The FMA believes StrykerFusion’s claims about investment returns are unsubstantiated and unrealistic.

StrykerFusion and associated entities claim to be launching “a revolutionary technology and currency platform”, the FMA said.

The man behind the businesses, David Sevelle, has used a fake name, claiming to be David Stryker.

Sevelle has already been permanently banned from providing financial services by the Australian Securities and Investment Commission, for operating an unregistered managed investment scheme between 2004 and 2006.

Up to 2000 people, including New Zealanders, Australians, Britons and Americans, among others, have already invested some $20 million into one of his claimed start-ups, ABC News said.

StrykerFusion and associated Equilux Lightweb claim to be working on an “ethical online social media platform which will include banking services and their own verified e-currency”, the FMA said.

The idea behind the platform is antithetical to black market dark web sites.

Kiwis are being offered places on online webinars promoting StrykerFusion and its associated entities. The Herald has seen information about signing up for Zoom meetings with Sevelle being shared on social media.

StrykerFusion and its related entities are not registered on the Financial Services Register to provide services or products here, the FMA said.

And it is not a member of any dispute resolution scheme, so if investors had any complaints about StrykerFusion, they would not be able to seek a resolution through an approved scheme.

Sevelle was permanently banned from providing financial advice, dealing in financial products and/or carrying on a financial services business to members of the public, including through promoting and operating any managed investment scheme.

He was permanently restrained by Australia’s financial regulator, the Australian Securities and Investment Commission (Asic).

Asic sued Sevelle in 2006 for operating an unregistered managed investment scheme called Mega Money. It had raised A$8m ($8.7m) from retail investors to fund property developments along the New South Wales coast and hinterlands, a statement from Asic said.

Sevelle had also “made statements to clients that were misleading or deceptive, or likely to mislead or deceive; and improperly assisted clients to obtain loans to invest in the scheme”, Asic said.

The Herald has approached Sevelle for comment via company email addresses the FMA listed as contact details people should be wary of.

Raphael Franks is an Auckland-based reporter who covers business, breaking news and local stories from Tāmaki Makaurau. He joined the Herald as a Te Rito cadet in 2022.

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