Turkey fund scandal: 455,758 investors face liquidation after warnings ignored

September 25, 2026 at 06:00 AM2 min

This digest was compiled by AI from multiple sources — links to the originals are below.

Turkey's Capital Markets Board (SPK) is liquidating 131 investment funds holding 455,758 unique investors after a scheme involving inflated small-cap stocks collapsed. A former MASAK deputy chairman filed a CIMER complaint on July 30, 2025 and a criminal complaint on January 5, 2026, warning about Tera Yatırım, but authorities responded only that work was ongoing. Investors are now told to await liquidation proceeds while questions remain about who exited before the collapse.

Key Facts

SPK is liquidating 131 funds with 455,758 unique investors, according to the regulator's disclosed figure.
Ramazan Başak, former MASAK deputy chairman, filed a CIMER complaint on July 30, 2025, warning about Tera Yatırım.
Başak filed a criminal complaint with the Istanbul Chief Public Prosecutor's Office on January 5, 2026.
TİP deputy Ahmet Şık submitted a parliamentary question to Treasury and Finance Minister Mehmet Şimşek about large exits from Pusula and Tera Portföy before default.

The Collapse

The fund scheme involved small, shallow companies whose shares reached extraordinary valuations. Funds bought these shares, driving prices up and boosting fund returns, which attracted new investors and pushed prices higher. Some companies' market values surpassed Turkey's major industrial firms, banks, and long-established producers. SPK announced liquidation of 131 funds with 455,758 unique investors.

Warnings Ignored

Ramazan Başak, who served in BDDK Bank Auditing, MASAK deputy chairmanship, the Presidential State Supervisory Council, and the Prime Ministry Inspection Board, filed a CIMER complaint on July 30, 2025. He alleged market fraud and suspicious money flows at Tera Yatırım, a company now at the center of the crisis. CIMER's response was that the board's work was ongoing. Başak filed a criminal complaint with the Istanbul Chief Public Prosecutor's Office on January 5, 2026.

Questions of Early Exits

TİP deputy Ahmet Şık asked Treasury and Finance Minister Mehmet Şimşek whether certain individuals conducted transactions exceeding millions of dollars in Pusula and Tera Portföy. He also asked whether they exited with large amounts shortly before the funds defaulted. Records at MKK, Takasbank, and SPK could reveal who entered and exited and when. MASAK records could also be examined to determine any relationships with fund managers, companies, or public officials.