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SEC reports new stock scam

Posted By Barry Ritholtz On August 19, 2004 @ 2:13 pm In Finance | Comments Disabled

sec [1]

A new scam is going around, according to this [2] SEC press release.

Here’s how the pump & dump scam work: They leave a voicemail — “breezy, intimate messages” — sounding as if a female caller mistakenly believes she has dialed a girlfriend, who then pretends to confide inside information she has learned from “that hot stock exchange guy I’m dating.”

Suckers here the message, and go out and buy a worthless, highly touted pump and dump stock.

The SEC is asking investors who receive these kinds of calls to let them know the company being touted, the exact date and time the call was received, the number called, and the number from which the call was made, if available. E-mail the information to Enforcement@sec.gov, or call the SEC at 1-800-SEC-0330.

The creativity of these dirtbags is un-ending . . .


Sources:

SEC Press Release [3]

http://www.sec.gov/news/press/2004-113.htm

SEC Investor Alert [4]

http://www.sec.gov/investor/pubs/wrongnumberscam.htm


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URL to article: http://www.ritholtz.com/blog/2004/08/sec-reports-new-stock-scam/

URLs in this post:

[1] Image: http://sec.gov

[2] this: http://sec.gov/news/press/2004-113.htm

[3] SEC Press Release: http://www.sec.gov/news/press/2004-113.htm

[4] SEC Investor Alert: http://www.sec.gov/investor/pubs/wrongnumberscam.htm

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