Statewide clientele but with emphasis on the Front Range communities of Greenwood Village, Boulder, Aurora, Centennial, Lakewood, Englewood, Avada, Westminster, Broomfield, Thornton, Golden, Littleton, Castle Rock, Monument, Colorado Springs, Highlands Ranch, Aurora, Parker, Centennial and Pueblo as well as other cities throughout Arapahoe County, Boulder County, Douglas County, City & County of Denver, Elbert County and Jefferson County.
An Overview of Securities Fraud (Part 1)
September 6, 2013
Securities fraud, which may also be referred to as investment fraud or stock fraud, is the criminal practice of intentionally misrepresenting the value of stocks in an effort to entice investors to buy or sell said stocks, which, in turn, causes them to lose money. Typically, those who are victimized by securities fraud are investors who are not familiar with the stock market and/or who do not have the experience to properly assess the level of risk associated with their investment.
Types of Securities Fraud
Some of the specific types of securities fraud that may be perpetrated by stockbrokers, chief financial officers or others include (but are not limited to):
- Manipulating stocks in “pump-and-dump” schemes (by, for example, falsely publicly reporting that stocks are doing better or worse than they actually are)
- Doctoring a company’s financial reports (to make the company appear to be earning or more less profits than is actually the case)
- Deceiving corporate auditors
- Embezzling funds from stock holders
- Committing insider trading (buying or selling stocks based on information that is not publically available)
- Creating dummy corporations modeled to mimic existing corporations (and then selling stock in these dummy corporations by getting investors to think they are purchasing stock in the real business)
- Operating Ponzi schemes (in which investors in the scheme are paid by subsequent investors, rather than by an actual investment in some stock or commodity).
Colorado Bankruptcy Lawyers
If you are overwhelmed by seemingly insurmountable debt and are looking for a financial fresh start, contact the trusted Colorado debt relief and bankruptcy lawyers at the Law Office of Jon B. Clarke, P.C. For more than 35 years, Mr. Clarke and his diligent support staff have been successfully helping our clients resolve even the most complex bankruptcy cases for both individuals and businesses alike. Our experienced legal professionals are committed to providing each of our Clients with the personalized debt relief assistance they need, and we will work tirelessly to ensure that our Clients’ cases are resolved as favorably and efficiently as possible.
For a thorough assessment of your situation, along with expert advice regarding the best manner in which to move forward to unburden yourself from debt, call us at (866) 916-3950 or email us some details about your situation by clicking here.
Categories: Securities Fraud