The Manitoba Securities Commission (MSC) has launched a new website in order to encourage the reporting of investment fraud.
The MSC reports that a recent survey it conducted found that one in five Manitobans have been approached by what they thought was an investment fraud; 30% don’t recognize investment fraud; and, 25% believe that reporting investment fraud is more trouble than it’s worth.
“As an organization, whose mandate is to act in the public interest to protect Manitoba investors, we are very concerned with these numbers,” said Don Murray, chairman of the MSC. “Recognizing the signs and types of investment fraud, doing a thorough background check and reporting suspicious activity are the best ways to protect yourself from becoming a victim.”
The MSC also notes that those who said in the survey that ‘reporting investment fraud is more trouble than it is worth’, felt that various factors would prevent them from reporting it, including: that it would be too time consuming; fear of repercussions, threats, or having to testify; and, it’s unlikely that the perpetrators will be caught or punished.
To address the survey findings and the concerns with reporting fraud, the MSC has developed a website, RecognizeInvestmentFraud.com, which provides information on the red flags of investment fraud, and steps investors can take to protect themself from becoming a victim. It also provides a toll free number and an online reporting form to facilitate reporting of suspicious behavior.
MSC investigator Len Terlinski says, “we want the public to know that it is extremely important that investment fraud is reported to the commission. By reporting suspicious activity we increase our chances of being able to prosecute the operators of these schemes and are often able to stop investment fraud before our family and friends fall victim.”