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SEC Suspending Trades On Spam Scam Stocks

from the about-time dept

Fri, Oct 5th 2007 2:56pm — Mike Masnick

Pump and dump spam scams have been quite successful for scammers, but the SEC is apparently increasingly successful in stopping the practice. It's now suspending trading on certain stocks that appear susceptible to pump and dump scams -- and that's more than cut in half the number of complaints its received in the last few months. What still isn't clear, however, is why it's so difficult to track down those responsible for pump and dump scams. You just need to follow the money and look at who bought the stock right before the scam started and who sold out immediately afterwards and you probably have a pretty short list of suspects.

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Filed Under: pump and dump, scams, spam
Companies: sec

5 Comments

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Cooter, 5 Oct 2007 @ 4:00pm

Cricket...Cricket...
I know it's Friday folks, but come on...this is good news. Oh, and FIRST
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Anonymous Coward, 5 Oct 2007 @ 6:01pm

Is that why the spam stock has been dropping off ?
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Jack Payne, 5 Oct 2007 @ 8:09pm

Pump and Dump Stock Scams
It's so easy for the con man to mask purchases through thrid parties and deferred purchase arrangements. This stuff is really hard to detect.

I write extensively on stock scams of every sort, and, believe me, in this area, the stock scamster is a real pro--always one step ahead of government watchdogs of every stripe.
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Max Powers, 5 Oct 2007 @ 11:15pm

Scam Stocks
Anybody can remain invisible. I know because I am. My trail ends at a certain point and I'm just an amateur so I can only imagine what these professional big time scammers can accomplish.
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RandomThoughts, 6 Oct 2007 @ 6:57pm

Depending on what country you are run these scams from, sometimes it doesn't matter if they know who you are. Our govt. can't reach out and do anything about it.
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