California Department of Corporations and Federal Trade Commission crackdown on high-tech scams.LOS ANGELES--(BUSINESS WIRE)--Jan. 30, 1996--The California Department of Corporations, in coordination with the Federal Trade Commission, Tuesday announced a total of 52 actions against 41 entities and individuals for securities violations. The department's operation targeted California entities offering paging licenses, limited partnerships for pay-per-call ``900'' numbers and ``cyber (1) From "cybernetics," it is a prefix attached to everyday words to add a computer, electronic or online connotation. The term is similar to "virtual," but the latter is used more frequently. See virtual. mall'' investments nationwide. The total amount of offerings under investigation by the department is almost $225 million. The crackdown by the department coincided with the FTC's national effort in ``Project Roadblock.'' The nationwide effort involved 22 states taking actions against ``information superhighway'' investment scams. A total of 85 actions were taken nationwide against entities engaging in high-pressure telemarketing telemarketing, the practice of selling goods or services to customers by means of the telephone or of surveying consumer preferences in telephone conversations. operations. ``This effort is the culmination of months of work at the national level and here in California to eliminate scams that cost California investors hundreds of millions of dollars every year,'' said Corporations Commissioner Gary Mendoza. ``California has slowed the flow of scam (SCSI Configured AutoMatically) A subset of Plug and Play that allows SCSI IDs to be changed by software rather than by flipping switches or changing jumpers. Both the SCSI host adapter and peripheral must support SCAM. See SCSI. artists and unscrupulous operators doing business in this state, yet today's actions prove there is still much work to be done. It is important that individuals check out any offer and are vigilant when investing. If an offer sounds too good to be true it probably is.'' On Jan. 18, the department issued 41 desist and refrain orders for the offer and sale of unqualified, nonexempt securities. The department also served a search warrant on 11 separate entities alleging felony securities and Business and Professions Code violations. Most of the entities and individuals being investigated are located in the Los Angeles Los Angeles (lôs ăn`jələs, lŏs, ăn`jəlēz'), city (1990 pop. 3,485,398), seat of Los Angeles co., S Calif.; inc. 1850. area. The entities pushing the investments in these scams targeted senior citizens with IRA Ira, in the Bible Ira (ī`rə), in the Bible. 1 Chief officer of David. 2, 3 Two of David's guard. IRA, abbreviation IRA. and/or Keogh accounts. These scams made promises of returns of 120 percent or more and doubling or tripling investments within a year. The Department of Corporations is a regulatory and licensing agency which reports to the Business, Transportation and Housing Agency, and to Gov. Pete Wilson For others named Pete Wilson, see . Peter Barton Wilson (born August 23, 1933) is an American Republican politician from California. Wilson served as the thirty-sixth Governor of California (1991–1999), the culmination of more than three decades in the public arena that . CONTACT: Department of Corporations, Los Angeles Damian Jones, 213/736-2507 Bill McDonald Bill McDonald (born 1966) is the co-anchor of the Ten Network's 5pm news in Brisbane with Marie-Louise Theile. Previously Bill had been sports presenter but was promoted to news anchor when Geoff Mullins left Ten News. Bill McDonald also talks on local radio stations in Brisbane. , 213/736-3704 |
|
||||||||||||||
Printer friendly
Cite/link
Email
Feedback
Reader Opinion