Korean-Based Financial Scams

scammed · #1 (**permalink**) 21st November 2009, 08:20 AM

BEWARE of ‘Financial Advisors/Stockbrokers’ based in Korea. Check with the site of the Korean Financial Supervisory Service (FSS Korea) and look under “FSS Investor Alert” to see if your contact’s company is listed before you do any business with them.

Some indulge in “Boiler Room” scams and I have already been a gullible victim!

frogblogger · #2 (**permalink**) 21st November 2009, 08:25 AM

Thanks for not naming any individuals or companies in this post. I am moving it to the general discussion area as it is not particularly relevant to Thailand (I have deleted identical posts elsewhere, as cross-posting the same info in different country forums is against the rules of this discussion board).

EDIT: The FSS site you mentioned appears to be compromised. I would have added the link, but no sooner has the genuine site appeared than it is replaced by another page and web address, as well as various dubious-looking pop-ups in Korean. I would advise against anyone clicking on these.

frogblogger · #3 (**permalink**) 21st November 2009, 09:06 AM

These are two useful official websites with details of scam methods, as well as names of companies allegedly indulging in unacceptable business practices:

FSA UK

FSA Japan

The introduction from the FSA UK site:

Quote:

This warning list includes unauthorised overseas firms that the FSA has received complaints about in respect of their activities and/or the FSA has reason to believe they are involved, or have been involved in, activities that contravene section 19 and/or 21 of FSMA.

Such firms are often involved in ‘boiler room’ activities and pose a high degree of risk to consumers. They frequently engage in tactics including cold-calling members of the public offering shares that later turn out to be worthless or high risk. The callers can be very persistent and extremely persuasive. If you are cold-called by an unauthorised overseas firm in relation to stocks or shares, you should be extremely careful. If you are contacted in such a manner, the FSA advises that you simply terminate the telephone call – the most effective protection against such unauthorised firms is to have nothing to do with them.

The list of unauthorised firms is by no means exhaustive as new names are regularly added. The absence of a firm’s name does not necessarily mean they can be safely dealt with. Consumers need to be aware of the dangers that are posed by such unauthorised entities.

Further guidance and information on the dangers posed by such firms can be found on Moneymadeclear.

scammed · #4 (**permalink**) 21st November 2009, 09:28 AM

Thank you very much, frogblogger.

scammed · #5 (**permalink**) 21st November 2009, 09:48 AM

Quote:

Originally Posted by frogblogger

Thanks for not naming any individuals or companies in this post. I am moving it to the general discussion area as it is not particularly relevant to Thailand (I have deleted identical posts elsewhere, as cross-posting the same info in different country forums is against the rules of this discussion board).

EDIT: The FSS site you mentioned appears to be compromised. I would have added the link, but no sooner has the genuine site appeared than it is replaced by another page and web address, as well as various dubious-looking pop-ups in Korean. I would advise against anyone clicking on these.

It appears that there is a hacking prevention system on the site called Easykeytec. I think you may enter the site by clicking on that if it appears. scammed

frogblogger · #6 (**permalink**) 21st November 2009, 10:17 AM

Quote:

Originally Posted by scammed

It appears that there is a hacking prevention system on the site called Easykeytec. I think you may enter the site by clicking on that if it appears. scammed

Sorry, I would definitely advise that clicking on pop-ups in Korean that inhibit access to an English language page would be very foolish, no matter how official the site is. If the site wishes English speakers to access its English language pages then it should organise differently.

The other two official financial services advisory sites I linked to contain virtually the same information and company details (I've checked).

scammed · #7 (**permalink**) 21st November 2009, 10:21 AM

Quote:

Originally Posted by frogblogger

Sorry, I would definitely advise that clicking on pop-ups in Korean that inhibit access to an English language page would be very foolish, no matter how official the site is. If the site wishes English speakers to access its English language pages then it should organise differently.

The other two official financial services advisory sites I linked to contain virtually the same information and company details (I've checked).

I concur!