Langley Advisory

Langley Advisory are a boiler room, cold calling investors in the UK offering stocks in Companies which have restricted (regulation S) shares. These shares cannot be sold to the American investors, so then why to the UK?

The fact of the matter is that Langley Advisory have an investment
fraud alert at the FSA. This, however, does not stop them from claiming victims. They have been selling stocks in a Company called General Components Inc, a company which in its annual report claimed that they did not have enough funds for the following 12 months.

A company in trouble offers rich pickings to boiler rooms who will use a very hard sell, whilst withholding very pertinent information. Such entities often for the staple diet of a boiler room. More information will be posted in due course on Langley Advisory, but any potential investor would be well advised to exercise extreme caution when dealing with these people.

Warburg and Ross - Another Boiler Room?

Warburg and Ross have all the hallmarks of another boiler room, hitting the streets. Their web site claims offices in Belize and the Philippines, but a check on the web site itself and on the WHOIS information for the firm, reveals a lot more.

An investigation on the 'About' section of their web site reveals that the information, whilst plausible at first glance, has actually been taken from a legitimate venture capital firm in California.

The WHOIS also has the air of legitimacy about it, but the fact that the site has only been registered for 12 months would leave me concerned about the long term intentions of this Company, and should be enough in itself to raise warning flags about Warburg and Ross.

This firm do not appear to have made any serious splashes yet, but ant potential investors would be well advised to tread very carefully when dealing with them.

Stock Investment Advice

Stock investment advice is easy to find. Do you get cold called by brokers with the latest investment tip? I have, as have countless others around the globe. And many of us have lost a lot of money to these people. So, how can you avoid some of these pitfalls?

In general, if you get cold called by anyone, the best stock investment advice that I can give you is to leave them alone, no matter how appealing, or how plausible the sell is. Many of the people and firms who operate in high pressure sales environments, operate outside the law. And these people usually start with a cold call.

Black and White Investments

Black and White Investments have been cold calling UK investors with high pressure sales tactics and very plausible rhetoric. Not withstanding the fact that Black and White Investments are on the FSA warning lists, the fact that these tactics are being employed and that they are cold calling UK investors at all, should be enough to convince you to tread very carefully in your dealings with them.

A closer examination of their WHOIS information, reveals that they have hidden their details, cloaking themselves in anonymity.

Pacific Continental Securities

Pacific Continental are a company operating in the UK, and are believed to be registered with the FSA. If that is the case, doesn't that make them a legitimate operation, and if so, why are they on here?

Good questions of course.

However, despite the air of legitimacy, there are some serious question marks over the operations of Pacific Continental, which should ring alarm bells and make potential investors think very carefully, and do a very thorough due diligence before spending any money with them.

• They are know to be selling regulation s shares, and not telling investors that these stocks are restricted. Always ask!

• They use very high pressure tactics. Would a legitimate trader need to do this?

• Once they take your money, well .....

More on Pacific Continental.

Trenton Hassel Investment Ltd

Trenton Hassel Investment Ltd have been approaching investors of International Biometrics, with tales of wishing to buy a non performing share to offset a tax liability. Whilst the desire to offload such rubbish as International Biometrics shares must be tempting, please be wary.

A cursory lookup of the website for Trenton Hassel Investment Ltd reveals a few suspicious things.

Wallstreet Asset Management

A new boiler room is believed to be targeting UK investors, but this time, I believe that they are peddling UK property shares.

More info on Wallstreet Asset Management.

and an ongoing discussion of boiler rooms.

Sterling Financial Corporation|Possible Stock Fraud

Sterling Financial Corporation have been cold calling UK investors, trying to persuade them to part with shares which are worthless.

Cold calling UK investors without the approval of the FSA is illegal in itself, but when Sterling Financial Services try and purchase shares in a Company like Slender Life, which has originally sold through Boiler Rooms itself and are completely worthless, then you have to ask questions as to why they are willing to pay a huge premium to do this?

There is an ongoing discussion on Sterling Financial Corporation at the boiler rooms UK forum.

Bell International Asset Management

Bell International Asset Management have been cold calling potential investors in the UK. Without the authority of the FSA, this action in itself is illegal.

A check on the website of Bell International Asset Management reveals that it was first registered only a couple of weeks ago, and only for a period of 12 months. This does not fill me with confidence. The contact details given are also suspicious. The claim on the web site that the copyright for the site dates back to 1997 is nonsensical bearing this information in mind.

On ongoing discussion on Bell International Asset Management is taking place at the Boiler Rooms UK forum.

Insta Trade Offering General Component Inc Shares

Insta Trade are now offering stock in General Component Inc (GCPO). The offer is currently $2.20 for 3000 shares trading at $2.25.

A check on the GCI web site shows that the site was only created in November 2004, but the investors are being told by Insta Trade that the company has been at the for front on network technology since 1998.

The shares are restricted under regulation S, even though Insta Trade do not volunteer this information.

There is a on ongoing discussion on Insta Trade at the Boiler Rooms UK forum.

Drake Asset Management - Second Wave Fraud

Drake Asset Management have been approaching investors
in Australia, in attempt to execute a second wave boiler room scam. By
this, I mean that they are offering to purchase stocks sold by other boiler
rooms, which are considered worthless, at a huge premium. The downside
is that an up front fee or 'bond' needs to be paid to facilitate this
transaction.

Once paid of course, the investor will never see their money again.

There is an ongoing discussion on Drake Asset Management at the Boiler Rooms UK forum.

Financial Assets Corporation - Suspicious Activity

Investors in the UK have started being called by a Company called Financial Assets Corporation. This company are operating a little differently to those boiler rooms normally highlighted on this site, because they are calling to obtain information in the first instance, rather than to try and obtain funds. The sting will undoubtedly come later.

Financial Assets Corporation are seeking details of 'non performing shares', and will email a questionnaire in order to facilitate this task.

What will happen next is anyone's guess, but it is strongly suggested that caution is exercised when dealing with these people.

An ongoing discussion is taking place on the Financial Assets Corporation at the Boiler Rooms UK forum.

Insta Trade in Amsterdam

Another boiler room, Insta Trade, is targeting investors in the UK with worthless stocks. The Insta Trade web site claims that the Company has been in existence since 1997, but the web site itself was created in October 1994, and only purchased for a year. This is not an encouraging sign if one is looking for an investment partner for the long haul.

There is an ongoing discussion on Insta Trade at the boiler rooms UK forum.

24/03/05
These guys are pressing hard. They all seem to be South Africans - probably have run other boiler rooms such as CFS International. They are calling nearly every day. One stock known to be on offer is General Components Incorporated (GCPO).

Beware!

SMI Private Equity Offering Oil and Gas Investments

SMI Private Equity, and firms like them, have in the past restricted themselves to hawking old and tired penny shares and involving themselves in second wave scams, whereby the boiler rooms offer to sell on worthless stock, for an up front fee. They will take the fee of course, and you will never see a return.

It appears that firms like SMI Private Equity are venturing into other fields, notably Oil and Gas investments, and investors need to be vigilant, especially when dealing with firms such as SMI Private Equity.

Oil and Gas has long been plagued with 'promoted' investments. A typical oil and gas fraud is to mark up the cost of the well 300 to 500%, with the Operator and/or sales firm pocketing the difference.

There is a thread on SMI Private Equity at the Boiler Rooms UK forum.

D Meredith Gray - A Secondary Scammer

A firm calling themselves Preston Winslow Yates and Associates have been approaching victims of Slender Life and Cambridge Global. Preston Winslow Yates and Associates say that they have a head office at 29/7 270 Park Ave. New York. N.Y. 1007, and also claim to work out of Hong Kong. They are saying that they have a client willing to give me $10.98 per share for what is thought to be worthless shares.

Why?

How do D Meredith Gray come into this? This transaction takes another twist, when contact is made by a third party claiming to be a representative of a US Government Bureau called 'The Central Selling Bureau' in New York, who say that in order to sell the shares one must pay $0.69 per share to a Transfer agent, D Meredith Gray, of 245 Park Ave. New York N.Y. 10005, to remove the restrictions. They then call and say that on top of this there is a charge of $1.28 to remove the 'non removable warrant A'.

There is more on this boiler room here.

On ongoing discussion is taking place at the boiler rooms UK forum.

Meissner Goodison Lee & Associates

Meissner Goodison Lee & Associates have been approaching shareholders in the Jade Dragon Group (SRPJ), offering to by seemingly worthless shares for $25 a share, under the guise of a take over. There is also the matter of the 10% up front fee which must be paid in order for the transaction to take place. The takeover does not exist of course, and the likelihood is that you will not see your up front payment again.

There is an ongoing discussion on Meissner
Goodison Lee & Associates at the Boiler Rooms UK forum.

Heritage Financial Inc - Boiler Rooms at Work

Heritage Financial Inc have been calling potential investors, offering $14.80 per share in both BDC and SRPJ. Both of these stocks (BDC
and SRPJ) are the subject of discussion at the Boiler Rooms UK forum. Because the shares in these companies are restricted (regulation S), Heritage Financial are claiming that a fee needs to be paid to lift the restrictions.

They are also claiming to be registered with US Government sites, but the sites that they tell you about, although looking genuine, are fake. A hard sell ensues, with many plausible arguments being used, but the bottom line is that they are offering huge prices on stocks that are worthless.

Why?

Parker Rowe - Another Boiler Room

Another boiler room, Parker Rowe, has been actively courting potential investors in the UK. They have been making claims of legitimacy, by saying that they are in fact a regulated Company, when in fact, they are not.

Tony Hetherington has done an excellent piece on Parker Rowe, which is reproduced if you follow the link.

de Verre Lloyd - Boiler Rooms Activity

de Verre Lloyd have been cold calling and using very aggressive selling tactics on potential investors. Care should be exercised when dealing with this Company, whose name has been flagged up by the authorities in Hong Kong, Singapore, Australian, New Zealand and others.

There is an ongoing discussion on de Verre Lloyd at the Boiler Rooms UK site. There is also a discussion on de Verre Lloyd opened up at the VRI Open forum.

There are statements from victims of de Verre Lloyd on the Boiler Rooms thread, as well as website details, which can be quite revealing.

Lox International - Boiler Room Attempting To Sell In UK

Another Boiler Room is making an effort to sell stocks to Investors in the UK.

Not much details is forthcoming about this present wave, but there is an FSA warning about these people.

For an on going discussion about Lox International, please see the Boiler Rooms UK forum.

Stem Genetics

A classic boiler rooms con that hit UK investors particularly hard was the Stem Genetics stock from the Sukumo Boiler Room.

This was one of those that got me too.

You can read much more detail on the whole Stem Genetics thing on this excellent blog.

Crest International Holdings

Crest International Holdings are targeting non US investors in a manner that suggests that they are a boiler room.

Details on Crest International Holdings activities, from information received, are shown below.

Any dealings with Crest International Holdings, should be carried out with great care. Please follow the links on this page and conduct your own thorough due diligence.

A discussion on Crest International Holdings and others is also taking place at the Boiler Rooms UK forum.

Please add this company to the list of such firms. To view a list that combines most international securities agencies 'Alerts' naming these companies, please link to


Crest International Holdings.

Pan Euro Financial SA

Another suspected Boiler Room has been peddling its wares in New Zealand.

They appear to be well known to the Australian Authorities

Biofield

Biofield

If you receive a call asking you to purchase shares in this company please obtain the following:

Name of the caller?
Phone number so you can call them back?
His/her location?
Website for the company?
Before you proceed ask the caller to fax to you a photocopy of a picture ID of himself/herself?
Get the name of the state it is incorporated in. For example, Florida.?

Ask about the investment?
If they are selling shares, are the shares restricted?
If company is US based do they have any filings with the SEC?

How many total shares can they sell( not just to you but overall shares)?

Name and phone number for the President of the Company?

Are they employees of the firm?

Do they work for a stock brokerage agency?

Get its name and the name of the state it is incorporated it?

First calls going to Canada?

Names
Saul Bell
Todd Kitay

All of the above is considered part of Due Diligence-Biofield
Possible boiler rooms

Thorpe Callow & Rowe International

Thorpe Callow & Rowe International are cold calling potential investors in the UK, which is in itself illegal.

They are using high pressure techniques to try and sell shares. More details of their activities will be posted here as they come to light.

One of the stocks being offered by Thorpe Callow & Rowe International is Western Sierra Mining. They are claiming that an investors portfolio should be heavily stacked in favour of mining and related stocks.

It is common practice for boiler rooms to start you trading by offering you small deals to get you started. What happens then is that more pressure is applied at a later date to invest more heavily. I have personal knowledge of boiler rooms being involved in the manipulation of share prices to facilitate a prospective investor's investment.

An ongoing discussion on Thorpe Callow & Rowe International is continuing at the Boiler Rooms UK forum. If you have been called by these people, please let others know.

Nationwide Mergers & Acquisitions Inc.

Nationwide Mergers & Acquisitions Inc have been cold calling potential investors in the UK, which is, in itself, illegal.

Of these potential investors who have come to light, having been called by Nationwide Mergers & Acquisitions Inc, there is sinister trend. They have all been victims of boiler room scams in the past. A typical boiler room scam will defraud investors by selling worthless stocks using very high pressure sales tactics and deceit.

The nature of the calls being placed by Nationwide Mergers & Acquisitions Inc, are to offer to purchase large quantities of worthless shares at a premium price. The catch is of course, that they are seeking a "Refundable Penalty Restriction Fee", which must be paid in advance. The size of the fees being asked for are substantial, but cast against the potential gain being offered, might tempt some victims to try and recover some of their previous losses. If paid, it is highly unlikely that "Refundable Penalty Restriction Fee" will be seen again.

There is a forum discussion on Nationwide
Mergers & Acquisitions Inc at the Boiler Rooms UK forum.

OFT announces scams awareness month

The Office of Fair Trading have today launched a scam awareness month. Let's hope that investment fraud and boiler room scams feature somewhere in their publicity - or perhaps we should ensure it does?

Scams Awareness

Cross-border mass-marketed scams targeted

13/05 27 January 2005

The OFT will launch a month-long campaign to alert the public to deceptive and fraudulent mass-marketed scams on 1 February.

The campaign is co-ordinated throughout the member countries of ICPEN, the International Consumer Protection and Enforcement Network. The ICPEN president this year is Christine Wade, the OFT's director of consumer regulation enforcement.

The campaign aims to arm consumers with the knowledge and skills necessary to recognise, report and stamp out scams, many of which originate from overseas. It will support the development of further cross-border co-operation between ICPEN member organisations such as the Federal Trade Commission (FTC), and between members and other law-enforcement agencies such as the FBI, the Royal Canadian Mounted Police (RCMP) and the United States Postal Inspection Service. In addition to alerting the public about scams they may receive through e-mail, the post or by telephone, it will culminate in a worldwide internet sweep, co-ordinated across ICPEN member countries, specifically to identify current scams which use unsolicited e-mails (spam) to target victims.

The OFT's awareness campaign will include:

- information on the most common types of scam
- a leaflet highlighting what people should look out for and how to protect themselves against falling victim to deceptive approaches, to be distributed through trading standards departments, neighbourhood watch schemes, and other voluntary and statutory agencies
- a radio advertising campaign
- a video news release and web-chat.

Christine Wade, director of consumer regulation enforcement at the OFT, said:

'As the global market place shrinks and communications systems become more sophisticated, the threat from rogue traders and scams that exploit consumers increases. Scammers are organised, manipulative and resourceful. Scams damage individuals and harm the interests of legitimate business. That is why the OFT has identified combating scams as a priority area for the next three years.

Our presidency of ICPEN presents us with an opportunity to work more closely not only with ICPEN members, but also with law enforcement agencies in other countries so we deliver seamless global enforcement and tackle scams which originate outside our borders. That work must extend to arming consumers with the skills to recognise and combat scams when they are targeted.'

Lydia Parnes, acting director of the FTC's Bureau of Consumer Education, said:

'The FTC is very pleased to join ICPEN and the OFT in this global campaign to educate consumers about the tell-tale signs of fraud and scams. By publicising the tools to recognise fraud and report it, we can help stop it and, in turn, increase consumer confidence in cross border trade.'

Tim Killam, Assistant Commissioner of the Royal Canadian Mounted Police, said:

'The RCMP works closely with many partners nationally and internationally to combat organised crime in all its facets, including consumer fraud. If we are to be successful in ensuring safe homes and safe communities, our approach must be fully integrated and borderless.'

NOTES

1. ICPEN is a membership organisation comprising the trade practices law enforcement authorities of more than 30 countries. The mandate of the network is to share information about cross-border commercial activities that may affect consumer interests, and to encourage international cooperation among law enforcement agencies. The network operates under a rotating presidency.

2. The campaign will roll out over the month of February and feature weekly announcements highlighting different types of scams and advice on how consumers can recognise and protect themselves against being conned.

Boiler Room and stock fraud Awareness

What is a Boiler Room?

The Financial Services Authority issued its biggest blacklist yet of firms that investors need to be extremely cautious of before handing over any cash. The list - which has tripled in size in a year - is an attempt by the watchdog to alert investors to potential cowboy firms that operate scams using heavy handed sales ploys to convince them to buy worthless shares. The watchdog has also warned of a new scam that means some people are being stung twice.

Commonly known as "boiler rooms", these unregulated firms often exist only on paper as a front for flogging shares with the promise of extraordinarily high returns when in reality they may be nearly worthless.

Thousands of investors have been caught out by scams where very slick, convincing and persistent salespeople ring up and verbally bludgeon them into parting with cash - usually with the line that the investor is getting in "on the ground floor" and by insisting they hand over cash immediately or lose out on the "opportunity" altogether.

More

Stock Fraud - How To Avoid Losing Money

Con artists across the globe have stepped up their efforts to rip off investors, especially non-U.S. residents who have lost money in the U.S. securities markets. While it’s natural to want to recoup one’s losses as quickly and as fully as possible, the SEC warns investors to be extremely skeptical of offers to exchange worthless or poorly performing stocks for blue chips or "hot" performers.

Worthless stock is typically just that — worthless. And anyone who promises a quick way to recover from a bad investment is probably just lying to you. We encourage you to thoroughly investigate any investment opportunity, as well as the person promoting it, before you part with your money. This is especially critical if you are a non-U.S. investor seeking to invest in U.S. stocks — or if you learn about the opportunity over the telephone from a broker you don’t know. The "broker" may well be a con artist, and the deal may be a dud. Remember, if an offer sounds too good to be true, it probably isn’t true.

This alert tells you how to spot potential "stock swap" scams, how to evaluate the offers you hear about, and where to turn for help.

For more, head over to stock fraud at Stock Watchers.

SEC files charges against boiler rooms

The Securities and Exchange Commission ("SEC") has filed civil fraud charges in federal court in the Southern District of Florida against six boiler room operations in connection with their operation of a series of recovery room advance-fee schemes directed primarily at previously victimized investors from a number of countries, including Australia, Belgium, Greece, Hong Kong, Malaysia, New Zealand, Norway, Singapore, South Africa, Sweden and the United Kingdom. A "recovery room advance fee" scheme is a fraud wherein the perpetrators prey on investors who have lost money on particular stocks they purchased in the past. The perpetrators purport to offer these investors valuable assets in exchange for their nonperforming stocks but insist that the investors first pay an "advance fee."

More Stock Fraud

Stanley Cooper Asset

Stanley Cooper Assets were cold calling UK investors back in September 2004. They are offering to buy stocks in worthless companies for a premium, provided that you make an up front payment.

There is also reporting on Stanley Cooper Assets at the Stock Watchers site.

Stocks involved now are believed to have included Sun Biometrics and Biochex (BCHX.

It's a scam chaps, don't fall for it!

National Detection Clinics

Has anyone been contacted by National Detection Clinics. They have been cold calling with a preliminary inquiry asking if an investment opportunity. They claim to have a new FDA approved non invasive detection system for breast cancer. They have mentioned Merrill Lynch as a reference.

Ivan Cavric, the secretary of National Detection Clinics, was chief financial officer of Otis-Winston Ltd., whose shares were peddled last year by Franklin Asset Management, a boiler room operating out of Spain.

It appears shares of Otis-Winston also were sold by Jefferson Management, another boiler room. Another National Detection Clinics insider, Americo De Rosa, also has ties to Otis-Winston, according to investigatory documents from the Ontario Securities Commission.

Please treat this possible stock fraud with caution.

Dynamic Marketing (DMA) Zurich

It would appear that Dynamic Marketing (DMA) in Zurich have started canvassing calls for Boiler Rooms again. They began in November last year, and said that they were a call centre for international financial institutions. These institutions turned out to be boiler rooms.

Please refer to Dynamic Marketing

Milton Dewar Asset Management

They may have the outward appearance of a call centre, but they can send you on a dark and dangerous path.

Exercise caution!

Bailey & Bennett

Another year, and another boiler rooms appears on the horizon.

A firm claiming to be Bailey & Bennett from New York is aggressively seeking to buy stocks for a client, who are in the process of a takeover. The stocks involved are worthless (DFRC and Stem Genetics), and Bailey & Bennett appear to be paying around $8 per share for shares worth barely the paper they are printed on.

Please exercise extreme caution, and follow the links above for more information.

Bailey & Bennett appear to be wading their way through a database of Sukumo victims. If you have the pleasure of speaking to them, please ask them if there is a fee involved in the recovery of your money?

Remember, if looks too good to be true, it probably is!

It would now appear that Bailey & Bennett are offering $3.25 a share on the old tat.

Don't get taken in.

Watch the drama unfold at The Boiler Rooms site.

04/02/05
Bailey & Bennett continue to aggressively target boiler room victims. They are going through the Sukumo catalogue of stocks, and are now offering to purchase shares in Safe Care travel. Needless to say that Safe Care was a dud, and so are Bailey and Bennett.

13/02/05
Bailey & Bennett have hit rock bottom, even for boiler rooms standards.

They have used the names of victims of the 911 atrocity as the ficticious names for their fraudulent business.

These people are crooks, and prey on innocent people all around the world.

They have now found a new low, even for crooks.

For more on this story, please refer to this boiler rooms story.