Showing posts with label investment scams. Show all posts
Showing posts with label investment scams. Show all posts
November 19, 2013
Oil, Land and Gold: The Perfect Baits for Dubai Scams














Represented by skyscrapers, man-made islands and luxury living, Dubai symbolizes wealth at its highest level. Although Dubai's economy was built on the back of the oil industry, revenues from oil and natural gas currently account for less than 3% of the United Arab Emirate's total revenues. For being a desert, this is impressive.  Dubai's oil reserves have diminished significantly and are expected to be exhausted in 20 years, and this is one of the main reasons why scammers use oil as a bait. As the world is getting closer to an energy crisis, the greater value the “last oil reserves” get. Higher prices of oil mean more profits. Oil investment has become a take it or leave it deal, no time for analysis.

Dubai has been preparing for the post-oil era through diversification. The main revenues today come from tourism, real estate, and financial services. The government's decision to diversify from an oil-reliant economy to one that is service and tourism-oriented made property more valuable, therefore the real estate industry has shown a lot of growth. It is also known as City of Gold because a major part of its economy is based on gold trades. So whether you´re an intrepid investor looking for big ROI in the oil and gold business or looking for a safer investment in the always profitable real estate business, Dubai is one of the most attractive places for investment, and scammers are well aware of that.

Investment scams sound and look completely believable. Most of the time, it takes a professional private investigator to uncover fraud or properly minimize your risk. There is a whole system designed for ripping you off, with smooth talking sales agents, super pro websites and a whole lot of forged documentation. When you add up the eagerness of being part of that next big deal, you´ll end up recognizing that falling for a scam is easier than you thought. The worst part is that many scammers remain anonymous and out of the reach of law enforcement, making loss recovery almost impossible. This is the time when consumer education is key, and it's very important way to minimize the threat first, rather than lose big. 

How can you avoid biting the bait? Get informed. Investing wisely depends on having accurate and quality information. International due diligence is a must, not a plus. Verify the company and the people involved before putting money into it, it´s the only way to know for sure your money is safe.

S. Birch
© 2013 S. Birch

Read more
January 18, 2011
Malaysia Private Investigators & Internet Scams

  • 1/18/2011
  • 1
Increased Fraud Levels Drive Demand for Investigators









Kuala Lumpur, Malaysia is a city rapidly taking in the effects of globalization and is the center of investment for the country, and one of the largest cities in Southeast Asia. Malaysia background checks, due diligence and private investigation businesses are up sharply compared to 2009 levels in response to a growing problem that is effecting not only Malaysia, but countries around the world. Malaysia private investigators are receiving more and more requests for background checks and due diligence, as romance scams, investment fraud and identity theft escalates.

Private investigators and background check companies as far away as Canada and the U.S. report that requests for Malaysia background checks and due diligence are up. The FBI and Interpol have also witnessed the rise in internet scams worldwide, and Malaysia is no exception. In fact, by many estimates, Malaysia is one of the fast growing countries in the world for internet fraud. Some criminal operations in Nigeria now have accounts in Malaysia and China, where funds are laundered by criminal associates in that country, or wired back to Nigeria.

Because of the increased risk, investigators and law enforcement caution internet users to be very skeptical of online dating romances from Malaysia, and investors seeking opportunity in Malaysia should never deal directly with an individual unless that person has been verified. Instead, investors should use a large and reputable bank or brokerage company for new investment information in the country. If there is a personal or business relationship that looks promising and real, experts say be skeptical and have the individual or business verified with a Malaysia background check. Be safe and always verify.

The reason behind the rising scam and fraud cases is open for debate. What is certain, is that individuals and businesses should exercise additional caution, and be aware of the risk.

All the Best,

S. Birch
© 2011 S. Birch
Read more
January 16, 2008
no image

  • 1/16/2008
Recognizing The Signs of Fraud

Financial scams have been on the rise around the world, and unfortunately, have been rising in sophistication. Fraud was introduced to the Internet most notably by the Nigeria 411 scams, i.e. advance fee fraud. That was then, this is now.

Scammers today are using worldwide access to the Internet to their advantage. Accounts such as webhosting a new website, bank and credit accounts can now be easily opened on the Internet, from any location. Having some false identification gives the scammer the upper hand here, as he has essentially created an alias with little, if any, traceable information.

The False Website Approach

Many financial scams are taking the form of the classic advance fee fraud, but with a higher level of sophistication and tactics. Websites are often created with templates or a design is stolen from another reputable and legal investment company. Once the site is complete, the criminal has created what appears to be a legitimate website and company. The headquarters for these fictitious firms are often located in the United States, so the website claims. These sites are mearly a tool for fraud.

How to distinguish a real investment website from a fraudulent one? Search Google and Yahoo for the company to determine if there are other sites referencing the firm. Check the site itself to see if the firm has contact information. A website without an address or phone number is a red flag for potential fraud or scam. Search phone directories for the firm's telephone number. Lastly, check with the SEC's website for signs on how to recognize these investment scams, and to verify registration of the firm.

Knowing the Signs of Fraud

Although the level of sophistication in these scams continues to rise, an educated consumer can know the difference. Scammers today always contact their victims with an offer - the potential victim has been selected. The firm representative may speak perfect English, and even understand investments and asset management. He may even request you submit an IRS form and other documents. Bottom line, this person will request personal data and/or payment promptly and without ever meeting you. Be skeptical and ask for the firms' references and SEC filing.

Getting Verification

If you've searched the Internet for references, checked local phone listings, maybe even contacted the SEC for verification, and spoke with company representatives and claimed references - and you're still not sure? Contact a professional investigation company, like Wymoo International or Philippine PI for help. Get the facts on who your dealing with - then decide.

All the Best,

S. Birch

© 2006-2008 S. Birch
Read more
Subscribe to: Posts (Atom)