BURNABY (NEWS1130) – A locally-based Ponzi scheme has been shut down, according to the BC Securities Commission.

It accuses Bossteam E-Commerce of securities fraud and illegally distributing securities. It says the Internet company, based in Burnaby, sold two types of securities to BC residents, who paid $2,000 to $5,000 for a membership.

The commission also accuses Bossteam of two bank accounts in the names of Yan “Rachel” Zhu and Guan Qiang Zhang which received numerous deposits of $2,000 and $5,000, totalling about $1.28 million in Canadian and US funds.

Zhu is registered under BC securities laws and is also a life insurance agent.