Fraudsters offer shares to the public without a prospectus through boiler room fraudsters.
Unauthorised businesses carries a great deal of risk to the public.
What is it ?
New type of Fraud:
- Boiler room: The criminals employ high pressure sales tactics
- Boiler rooms operations are share scams and are the scourge of investors.
- The operator will sell worthless shares at inflated prices to investors that are impossible to sell.
- The company they are share dealing in will probably be listed on an illiquid market, so the shares cannot be sold, and the price will be hugely inflated.
- FSA secures redress for victims of boiler room scam, FSA/PN/074/2012, 19 Jul 2012.
- FSA secures four and a half year jail sentence for man convicted of laundering boiler room funds, FSA/PN/045/2012, 30 Apr 2012
- FSA secures €77,000 for victims of boiler room fraud, FSA/PN/016/2012, 17 Feb 2012
- Three sentenced to jail for operating £27.5m boiler room scam, FSA/PN/073/2011, 22 Aug 2011
- Chartered accountants fined and banned for assisting multi-million pound boiler room share scam, FSA/PN/176/2010, 15 Dec 2010.
- FSA prohibition of Andrew Greystoke and £400,000 fine on him and Atlantic Law LLP for aiding multi-million pound boiler room share scam upheld, FSA/PN/079/2010, 13 May 2010.
- Boliler Room Scams
