News Release
BCSC Warns of Opportunistic Investment Scams in Wake of U.S. Terrorist Attacks
-
Date:
2001-09-20 -
Number:
2001/42
Released: 09/20/01 Contact: Andrew Poon
(604) 899-6880 or
(BC only) 1-800-373-6393
Vancouver -- The BC Securities Commission is warning British Columbians to be on the lookout for opportunistic scams that may result following the terrorist attacks in New York and near Washington, D.C.
Cold-calling telephone salespeople, advertisements, or Internet postings that promote commodities, exotic financial products, or supposed anti-terrorist technologies should be a red flag for investors, the commission warns.
"Unfortunately, there are unscrupulous people and organizations who will take advantage of last week's tragic events to prey on investors," says Sasha Angus, BCSC Director of Enforcement. "In the wake of recent tragedies, people should resist the temptation to make any hasty decisions about their investments or finances."
The BCSC urge investors to:
- Hang up on aggressive cold callers promoting “safe” investments such as precious metals, oil, or gas and ignore unsolicited e-mail or Internet chat room talk about small companies with new anti-terrorist technologies or products;
- Request written information that fully explains the investment, such as a prospectus or offering memorandum; and
- Use common sense. Some things really are too good to be true. Get a professional, third-party opinion when presented with investment opportunities that seem to offer unusually high returns in comparison to other investment options. Pie-in-the-sky promises often signal investment fraud.
- 30 -