Our expert fraud lawyers have dealt with many investment fraud cases over the years. Allegations of fraud can be highly damaging to your personal and professional reputation and it is vital that you seek legal advice as soon as possible.
What is Investment Fraud?
Investment fraud takes many different forms and can take place through the internet, brokers or agents. Targeting the investor to try and convince them to part with their savings is the common feature. This could be to invest in a company, a property development or any supposed investment opportunity over a high rate of return.
Common Types of Investment Fraud:
- Advance fee fraud
In its simplest form, this occurs when someone pays money in advance for a service or product that the seller has no intention of providing. Advance fee fraud is a common type of internet fraud.
- Ponzi Scheme Fraud/ Pyramid Fraud
These are schemes in which the targeted investors expect a high return on an advanced sum of money in a very short space of time.
- Boiler Room Fraud
Fraud in which the victims are persuaded to purchase shares in a company that usually does not exist or sold to the buyer for a price higher than their market value.
- Recovery Room fraud
This fraud involves convincing victims of boiler room fraud that it is possible to recover sums of money lost. The victims are usually asked to pay an upfront fee to allegedly cover the cost of employing the fraudsters’ service.
- Land Banking Fraud
This fraud is run in a similar way to boiler room fraud. This is where investors are led to believe they are investing in land that will significantly increase in value. However, the reality is far different, the land may not even exist, has no potential investment value or is unlikely to ever be granted planning permission.
These cases involve vast amounts of documentation and there is usually many witness statement from victims to go through. It is crucial that evidence is examined in detail, often the paperwork does not match the victim’s allegations. Isolating these subtle points is often crucial to the preparation of a criminal defence.
Our expert fraud solicitors will robustly defend in these circumstances and ensure that the alleged victims are vigorously cross-examined.