Boiler Room Scams
Despite success by the Financial Conduct Authority and Police in prosecuting Boiler room operations, the fact that such easy money can be made from these criminal acts means this type of scam is on the increase.
The scams work by presenting clients with shares or bonds, which are in fact worthless. The initial approach can be a cold-call, or it could be via advertising in newspapers, magazines or on social media, direct letters, or even seminars where an offer is made to buy or sell shares or bonds for a significant return.
These scams work well with even seasoned investors being caught out. The police recently recorded one individual who lost £6 million from such a scam. As ever, the devastation left behind for those caught out can be dreadful.
In all cases, the pressure to act swiftly or miss out will be relentless and will often be accompanied by ‘reports’ showing due diligence having been undertaken and in many cases careful cloning of genuine firms or regulated individuals.
Extreme care is required to ensure the people and investments you are being offered are genuine. IYE Global offer a due diligence service that not only checks the validity of the investment but accesses intelligence and watch reports on those involved. If you’d like to ensure the investment you’re considering is genuine, please call us on: +44 (0)20 8914 7923 or fill in details on the IYE Global Contact page