Cold-calling scam lynched in scammer network
A cold-calling investment scam operating under the name ‘Global Capital Wealth' appears to be associated with a network of fraudulent financial services businesses, the Australian Securities and Investment Commission (ASIC) said.
ASIC has warned consumers of a scam that sees fraudsters offer them opportunities to invest in a managed share trading scheme.
The scammers appeared to be using the Australian business number, Australian company number, and Australian financial services license number of ‘Global Capital Resources', a licensed financial services business with no affiliation to Global Capital Wealth, according to ASIC.
The regulator's investigation indicated the business was associated with a group of fraudulent financial services businesses which ASIC had obtained orders against last October in the Supreme Court of Queensland.
The companies operating the scams were predominantly based in the Gold Coast but targeted consumers all over the country, ASIC said, luring potential victims with the promise of high returns as reported on their fictitious web site.
ASIC said victims of the scam often lost everything.
ASIC Commissioner Greg Tanzer said consumers needed to be wary of unsolicited investment advice and products.
"Consumers can be tempted by the promise of high returns or other incentives; however they should remember that reputable financial services businesses do not cold call members of the public," he said.
"If you receive such a call, hang up immediately and save yourself significant potential losses."
The fraudulent businesses web sites have already been blocked, ASIC said.
Recommended for you
Licensee Centrepoint Alliance has completed the acquisition of Brighter Super’s annual review service advice book, via Financial Advice Matters.
ASIC has launched court proceedings against the responsible entity of three managed investment schemes with around 600 retail investors.
There is a gap in the market for Australian advisers to help individuals with succession planning as the country has been noted by Capital Group for being overly “hands off” around inheritances.
ASIC has cancelled the AFSL of an advice firm associated with Shield and First Guardian collapses, and permanently banned its responsible manager.
