Scenario: An online investment newsletter touts a penny stock, saying you could double your money. There are few details about what the company does but they say the deal is fantastic. You buy 1,000 shares and sit back a wait to make money.

Scam: The promoter was "giving you a line" so you would buy. The stock does not go up and you are out the commission and stuck with a lousy investment.

Investment fraud, also known as securities fraud, are frauds in which investors are deceived into investing money in a company or schemes in which details are either non-existent or have been misrepresented. Referred to as white-collar crime because it is usually involves individuals in business suits, instead of bandits with black clothing and masks, it can be as devastating to the victim as a physical assault. Investment fraud has become much easier to accomplish with the growing access to the Internet and the World Wide Web (www). These tools have expanded the reach of the fraudsters and have brought white collar criminals and their victims closer together. Lawyers, accountants, promoters, other investors, executives and other market participants might be the perpetrators. Trust investment con artists with your money and your financial future and they will ruin you. The fraud might involve misleading statements about a particular company. Perhaps financial statements are adjusted to make the company look more profitable than it is. A promoter might make false or unproven statements about the potential for the company's success. There are thousands of ways to encourage investors to spend investment dollars, and if they are false or misleading, they indicate an investment fraud

Investment fraud may involve company "insiders". These are people in the company who presumably know the true state of the company, but don’t tell the public. They may make investment decisions based on what they know before the general public gets the information. The goal is to use that knowledge to make money or avoid losing money.

Fraud schemes that take place in the securities markets are devastating to the trust that people have in these markets and ultimately affect the economy as a whole.

If you or someone you know has been a victim of Investment Fraud we want to know. Contact us and take ACTION NOW!