At least 700 individuals have suffered losses from their involvement with BY Asesores de Seguros. The company, which raised funds, promised returns of up to 9% per month, resulting in losses totaling a minimum of $7 million.

Karina initially believed BY Asesores de Seguros to be a reliable investment opportunity. However, she now deeply regrets taking out a loan to “invest” $11,000 in the company, where she was assured a monthly interest of 9%. She is among a group of over 700 investors who put their money into this insurance brokerage firm, which was not authorized to solicit funds or offer returns.

Surprisingly, the company’s official website solely promotes life, health, and general insurance services, along with savings plans. All the affected clients entrusted their funds to this broker with the promise of returns akin to what was pledged to Karina.

Evidence of scam includes missing manager

Since August 2023, these investors have not received the promised profits, nor have they been able to withdraw their initial investments. As a result, around 100 individuals filed a complaint with the Prosecutor’s Office against BY Asesores de Seguros and its manager, Bruno Yannuzzelly Garrido, on October 10, 2023, alleging fraud and unauthorized fund collection. An additional 600 injured parties, located outside of Pichincha province, submitted written complaints.

With a minimum investment requirement of $10,000, the economic impact of this scheme reaches at least $7 million. Some investors, like Karina, put in even larger sums.

The Ministry of Foreign Affairs and Human Mobility reported that Yannuzzelly Garrido left the country for the United States on October 6th, 2023. The company’s headquarters, situated on De los Motilones and Vicente Fierro streets in northern Quito, has been closed since Friday, October 6th, as per the building’s security personnel. No employees are reporting for duty and attempts to contact the company’s cell phone have been redirected to an answering machine.

Publications attempted to reach the company for comment but received no response. On the Superintendency of Companies’ website, BY Asesores de Seguros reported revenues of $687,964 and profits of $47,564 in 2022, making the ongoing scandal even more astonishing for Karina.

She recalls that Yannuzzelly Garrido had even appeared in television interviews discussing investments. The company’s social media accounts showcased extravagant outings for its employees. The confidence Karina had initially felt in the manager and company has now been shattered.

Useless contracts, certificates, checks

The affected parties had signed contracts, received investment certificates, and were even issued post-dated checks as a form of security. Despite all this, they are now left empty-handed and in debt due to the fraudulent activities of BY Asesores de Seguros.

David, another victim, invested $11,000 in June 2023, expecting a 5% monthly return. The advisors claimed that these returns were generated by investing the funds in publicly traded companies. However, it’s been revealed that Yannuzzelly Garrido established a new company, “BYFinanzasPlus Casa de Valores,” in May 2023, which doesn’t appear in the registry of brokerage houses.

The Superintendency of Banks’ list of unauthorized financial entities surprisingly does not feature BY Asesores de Seguros. Karina and David, along with countless others, continue to grapple with the financial aftermath of this devastating scam.