Boiler Room Scams

[AndrewH]

See, this is what's wrong with so many people caught up in boiler room scams (Andrew, I know you know they're scammers).

People will get these documents via courier and then won't think that's it strange they came from a scammers paradise.

Everyone - the clues are ALL around you that you're being setup by scammers so please use COMMON SENSE - that's all it takes

My number one common sense tip? USE THE INTERNET TO PROPERLY RESEARCH WHO YOU'RE ACTUALLY DEALING WITH. But then if you AUTOMATICALLY tell cold callers who call trying to sell you investments where to go then you will nip the problem in the bud.

Had some freak call me up the other day trying to sell me 'land' so I told the scamming prick where to go, he got annoyed, I laughed and then slammed the phone down. He then called back, I told him I don't deal with scammers and then he slammed the phone down

Of course I know.
I have had repeated phone calls to my office and mobile. They target me realising I am an expat, thinking I will have a large disposable income. Their act is good, but just too rushed and sugary to be genuine. The brochures give you no information. During the hard sell, you can't get a word in edgeways - I just put the phone down and finally they realise they are talking to the wall.
This 'Fisher' needs to be put on the FSA list.

 

[Bobbi]

Hello everyone. Working on the basis that every cold call is a scam, the latest "name" to pester me is Northern Pegasus. Watch your wallets !

 

[matap605]

I came across this guy. Lets see if we can find a common denominator to boiler rooms. It won't be that hard.

http://blogs.westword.com/latestwor...lve-year-plus_sentence_for_ponzi_scheming.php

 

[anley]

Of course I know.
During the hard sell, you can't get a word in edgeways

Yep, that's because they're reading from their script. Same thing happened to me with the fella that wanted to sell me 'potential development land' he was off running his mouth for about 5 mins.

 

[LJT]

Here is another scam that I recently came across:

Henderson Global Funds - They say they are from Tunbridge Wells and are actually impersonating a real company - who have a warning on their website - http://www.henderson.com/sites/henderson/securityinformation.aspx

They will probably call from a blocked number - but list thier number in corrspondance as 0203 384 6419 - they will also email from [email protected] - note that the real henderson site actually uses www.henderson.com.

I didn't get into how they exactly operate the scam as I didn't have the energy to listen to thier mindless drivel.

I also got a contact from them, and I actually do live in Tunbridge Wells! Very pleasnt warm syrup conversation with a gent called Ethan, trying to sell shares in a LSE listed mining co at a below market price due to "a trust fund over allocation". Three calls over several days, I admit I was distracted on other things so didnt do any background. Then the call for cash comes, about £20K wanted, so I wake up and do checking.

Phone number is a VOIP allocated phone and is clearly not a Tunbridge Wells number, website was only registered in November this year (did a simple "whois" search). The site is a cut & paste job from others (http://www.hendersonglobalcarefunds.net/).

The real Henderson Group were most helpful when I called and pointed to their website warning on impersonators. The alleged company did call back to get my email address to send papers through; I declined to confirm and said that I believed that they were a scam and I had reported them appropriately. 100% for bravado as they at first tried to say there had been some misunderstandings, but I said that I would be happy to speak to their external legal advisors if they thought I was wrong.

They never called back, a shame as I was looking forward to the sport.

 

[pboyles]

I also got a contact from them, and I actually do live in Tunbridge Wells! Very pleasnt warm syrup conversation with a gent called Ethan, trying to sell shares in a LSE listed mining co at a below market price due to "a trust fund over allocation". Three calls over several days, I admit I was distracted on other things so didnt do any background. Then the call for cash comes, about £20K wanted, so I wake up and do checking.

Phone number is a VOIP allocated phone and is clearly not a Tunbridge Wells number, website was only registered in November this year (did a simple "whois" search). The site is a cut & paste job from others (http://www.hendersonglobalcarefunds.net/).

The real Henderson Group were most helpful when I called and pointed to their website warning on impersonators. The alleged company did call back to get my email address to send papers through; I declined to confirm and said that I believed that they were a scam and I had reported them appropriately. 100% for bravado as they at first tried to say there had been some misunderstandings, but I said that I would be happy to speak to their external legal advisors if they thought I was wrong.

They never called back, a shame as I was looking forward to the sport.

What company were the shares in? Its important to post that here as sometimes people search for the name of the shares rather than the name of the boiler room.

 

[LJT]

What company were the shares in? Its important to post that here as sometimes people search for the name of the shares rather than the name of the boiler room.

The company was Centamin Egypt Ltd, LSE and TSX listed. I admit that I was quite interested as I like miners and gold

 

[pboyles]

The company was Centamin Egypt Ltd, LSE and TSX listed. I admit that I was quite interested as I like miners and gold

Amazing how all these 'next big thing' mining companies who would have us believe they are worth millions always work out of some bungalow or mail drop.

 

[LJT]

Amazing how all these 'next big thing' mining companies who would have us believe they are worth millions always work out of some bungalow or mail drop.

Nice research! I will remember to try that next time.

Having said that, the company trading and performance look real enough. I think that the company was wholly incidental to the process as I think that the (alleged) scammer picked up on my interest in mining and metals and just picked the name out of the LSE to spur my greed

 

[pboyles]

Nice research! I will remember to try that next time.

Having said that, the company trading and performance look real enough. I think that the company was wholly incidental to the process as I think that the (alleged) scammer picked up on my interest in mining and metals and just picked the name out of the LSE to spur my greed

Here' the thing, when you say their 'trading and performance look real enough' what information are you relying on? Information the company themselves have released?

 

[kenmar 1952]

I also got a contact from them, and I actually do live in Tunbridge Wells! Very pleasnt warm syrup conversation with a gent called Ethan, trying to sell shares in a LSE listed mining co at a below market price due to "a trust fund over allocation". Three calls over several days, I admit I was distracted on other things so didnt do any background. Then the call for cash comes, about £20K wanted, so I wake up and do checking.

Phone number is a VOIP allocated phone and is clearly not a Tunbridge Wells number, website was only registered in November this year (did a simple "whois" search). The site is a cut & paste job from others (http://www.hendersonglobalcarefunds.net/).

The real Henderson Group were most helpful when I called and pointed to their website warning on impersonators. The alleged company did call back to get my email address to send papers through; I declined to confirm and said that I believed that they were a scam and I had reported them appropriately. 100% for bravado as they at first tried to say there had been some misunderstandings, but I said that I would be happy to speak to their external legal advisors if they thought I was wrong.

They never called back, a shame as I was looking forward to the sport.

Just wondered if you actually physically checked out their postal address?
I also checked their web address registered 14th Nov in Seychelles, althiugh this could be a legit reregistrstion? Fsa(187364) registered 13/10/98, but this then bounces back to legit Henderson at Bishops Gate address when you use CIS register.
I too have been approached by them, again offered Centiman Egypt. I have been offered these shares several times over the past 2 years, so was pretty sure it was dodgy. How are they scamming on legit share? More to follow as I am still leading them on.

 

[pboyles]

Just wondered if you actually physically checked out their postal address?
I also checked their web address registered 14th Nov in Seychelles, althiugh this could be a legit reregistrstion? Fsa(187364) registered 13/10/98, but this then bounces back to legit Henderson at Bishops Gate address when you use CIS register.
I too have been approached by them, again offered Centiman Egypt. I have been offered these shares several times over the past 2 years, so was pretty sure it was dodgy. How are they scamming on legit share? More to follow as I am still leading them on.

They have copied some of the details of the genuine company, as you point out their FSA number refers back to the genuine company. Regarding Centamin Egypt Ltd they could well exist as a registered company and they could have issued shares officially. That's no guarantee you wont still get scammed. The shares could be restricted, they could be OTC shares that are being manipulated as part of a pump and dump scam or the boiler room could simply keep your money and send you some photoshopped share certificates. The bottom line is that if you buy shares from a cold caller it you will lose your money.

 

[kenmar 1952]

They have copied some of the details of the genuine company, as you point out their FSA number refers back to the genuine company. Regarding Centamin Egypt Ltd they could well exist as a registered company and they could have issued shares officially. That's no guarantee you wont still get scammed. The shares could be restricted, they could be OTC shares that are being manipulated as part of a pump and dump scam or the boiler room could simply keep your money and send you some photoshopped share certificates. The bottom line is that if you buy shares from a cold caller it you will lose your money.

I have no intention of buying! I was caught in the past, never again. I just enjoy the chase! If I am wasting their time they are not conning someone else! CEY are Footsie 250 shares so I wonder how the scam works, except they say we will tell you when to sell so unless they do a runner in the near future. But first they will come back with another great deal!

 

[pboyles]

I have no intention of buying! I was caught in the past, never again. I just enjoy the chase! If I am wasting their time they are not conning someone else! CEY are Footsie 250 shares so I wonder how the scam works, except they say we will tell you when to sell so unless they do a runner in the near future. But first they will come back with another great deal!

If they are thinly traded then when people buy into it the price will rise. The scammers may have bought into it previously with the intention of pumping up the price by getting other people to buy through cold calls. Then when the price rises and they achieve a profit they will sell all their shares and the price will drop like a stone. They will tell you to hold onto your shares and by the time you know what is happening you'll have lost a fortune.

Or they could just keep your money, send you fake certificates and disappear.

http://www.justice.gov/opa/pr/2010/October/10-crm-1232.html

http://thestreetsweeper.org/streetpatrol_archives.html

 

[kenmar 1952]

If they are thinly traded then when people buy into it the price will rise. The scammers may have bought into it previously with the intention of pumping up the price by getting other people to buy through cold calls. Then when the price rises and they achieve a profit they will sell all their shares and the price will drop like a stone. They will tell you to hold onto your shares and by the time you know what is happening you'll have lost a fortune.

Or they could just keep your money, send you fake certificates and disappear.

http://www.justice.gov/opa/pr/2010/October/10-crm-1232.html

http://thestreetsweeper.org/streetpatrol_archives.html

Good explanation Thanks for that. I'll post again when I hear from them next week.

 

[anley]

LJT knows what he's doing when it comes to defeating the scammers.

See everyone, all it takes is 5-30 mins of internet research and ALL will be revealed.

PS. I love the 'trust fund over allocation' rubbish. Still, many will fall for this kind of bull because sadly many people are still too trusting of people/companies. Listen, even the legit ones are often trying it on - ever bought a personal finance product for example, chances are you got stuffed up if you didn't research what you were buying and the costs........

 

[LJT]

Good explanation Thanks for that. I'll post again when I hear from them next week.

In my view this is a "take the money and run" variety of scam. The "offer" price was 172p with my "proper" sources indicating 186p. I suspect that if I hade persisted they would have insisted on physical certificates, which would have turned out to be less than genuine. I won't deal with physcial paper and have everything through personal CREST membership or a specific nominee account with my broker, my financial equivalent of airbags and seat belts (along with a well honed sense of paranoia)

They could either deliver fake paper, run off before paper is delivered, or as a "back up" get your financial and identity information in sufficient detail to run a cloned ID type attack if Plan A doesnt work well enough! Hence I wouldnt even confirm my email address let alone anything else.

 

[dexterbaxter]

An update on my situation. They left me alone and on week later another freak called me from the same company and tried to sell me the same thing. I didn't pick up their persistent calling ever since.

 

[matap605]

Here is another one. http://richardradcliffe.com/fraud1/?p=41
Scammers always work in groups. They use edification to gain your trust, the phony websites and so on. Often, part of the group says they are victims to throw you off the path, much like some of the posters on here.

Look for the common denominator.

 

[dexterbaxter]

I still get calls which I dont pick up everyday. From unknown numbers. Anyway to rid of these? These freaks are damn persistent at becoming a pest to you until
One day your are annoyed and pick up their call.