Investment fraud on the rise in New Brunswick

Date: Sunday, January 27, 2008
Author: James Langton, Investment Executive

NBSC launches public awareness campaign to educate New Brunswickers on how to avoid scam.

The New Brunswick Securities Commission says that investment fraud is on the rise in the province, and it’s launching a public awareness campaign to educate New Brunswickers on the issue.

The NBSC reports that an increasing number of New Brunswickers are receiving suspicious phone calls and e-mails from potential scam artists. According to a survey it conducted, 40% of New Brunswickers have received suspicious phone calls from potential scam artists, and more than 30% also reported receiving an e-mail link to a deceptive Web site.

“These numbers indicate how prevalent investment fraud is becoming in New Brunswick. It’s a serious issue,” stated Donne Smith, chairman and CEO of the commission.

Smith said both the number of complaints about scams and the number of investigations conducted by the commission are on the rise. The survey also found that males tend to be victimized by scam artists more than females and the likelihood of being targeted increases with education and income.

This week, the NBSC launched a public awareness campaign aimed at educating New Brunswickers about investment fraud and urging them to report any suspicious calls to the commission. The campaign will include television ads that will air in the coming weeks in both English and French markets. Radio and print ads will follow in February.

Smith said the ads highlight the tactics investment fraudsters use to convince people to buy into their schemes. “Scammers are so sophisticated and trained in their sales tactics that they tailor their pitches according to who they are speaking to at the time,” said Smith. “This campaign will educate New Brunswickers about what they can do to protect themselves and their hard-earned money.”