The Financial Conduct Authority (FCA) in partnership with City of London Police (Action Fraud) are highlighting the trend of online trading scams being advertised on social media.

I have seen an increase in these type of scam enquiries coming through to me where the platform has enticed the victim to invest more and then refused to release any funds from their account. All too often the platform's website is registered in one country with fictitious offices in another. Many websites just close down after a while and reinvent themselves under another name. One such platform I investigated even used the terms and conditions copied from a retailer on their website. It spoke about returning items in the original packaging! 

With these types of scams caution should always be taken in considering recovery options as costs can outweigh the benefit of pursuing a recovery especially as there are no guarantees. With no registered entity to pursue the general public must be alert to the tactics these fake platforms use. The ScamSmart campaign is vital to deliver this message to not be parted with your money.

Make the right checks – firms providing regulated financial services must be authorised by @TheFCA. Use the contact details on the Register, not the details the firm gives you, to avoid ‘clones’. Be #ScamSmart www.fca.org.uk/scamsmart

www.grantthornton.co.uk/investmentscamsteam