Call Now For a Free Consultation:
(614) 532-4576
Nationwide Representation

FBI: Main White Collar Crime in Montana is Securities Fraud

The FBI recently listed securities fraud as the major white collar crime in Montana ("FBI talks about crime in Montana," KPAX News, April 8, 2011). Affinity fraud, in particular, seems to be especially prevalent.

James McTighe, FBI Special Agent in Charge of the Salt Lake City, Utah Division, explained*: "Affinity fraud deals with a relationship that exists between the individual, the fraudster, and the victim." He believes it is this "relation of trust" that makes investors so easily manipulated by affinity fraudsters.

The SEC agrees: "These [affinity fraud] scams exploit the trust and friendship that exist in groups of people who have something in common."

Affinity fraudsters often are (or pose as) members of a particular group, such as a religious group, a particular age group, or an ethnic group. According to the SEC, the scam artists often con "respected community or religious leaders" first, because the leaders' approval will help the con artist appear legitimate to the group. The leaders then "become unwitting victims of the fraudster's ruse," and help solicit and recruit other members of the group into the investment scheme.

Protecting themselves against fraud should be a top priority for investors, said SAC McTighe. "Do you[r] due diligence, do your homework, research it, make sure that you try to find out as much as possible about the individual and don't just assume because you have a relationships with them that your investment is going to be safe."

For additional tips on how to protect yourself from affinity fraud and other types of securities fraud, click here.

*Quotes from SAC McTighe were found in Reporter Irina Cates' KPAX News article.

The information contained in The Firm’s posts on its blog, fraud alerts, investigations or elsewhere on the site is based upon information obtained from other sources including, but not limited to, news outlets and federal, state, and regulatory agency filings. All suspects and subjects of postings herein are presumed innocent until proven guilty in a court of law or administrative action and any and all crimes are alleged until a court or regulatory agency finds otherwise .

Share This Story
If you found the information provided by this article useful, consider sharing to your social media channels to help others in their search for reliable resources.
Consult with Our Legal Team
There is never a cost associated with a consultation
Atlanta Office

945 East Paces Ferry Road, Suite 2275
Atlanta, GA 30326
Columbus Office

305 W. Nationwide Blvd
Columbus, OH 43215
Meyer Wilson
New Orleans Office

900 Camp Street 
Suite 337
New Orleans, LA 70130
Los Angeles Office

2029 Century Park East,
Suite 400N
Los Angeles, CA 90067
Cleveland Office

4781 Richmond Rd.
Suite 400
Warrensville Heights, OH 44128
Bloomfield Hills Office

41000 Woodward Ave.,
Suite 350
Bloomfield Hills, MI 48304
Quick Links
The information contained in this Website is provided for informational purposes only, and should not be construed as legal advice on any subject matter. No recipients of content from this site, clients or otherwise, should act or refrain from acting on the basis of any content included in the site without seeking the appropriate legal or other professional advice on the particular facts and circumstances at issue from an attorney licensed in the recipient's state. Read More
The information contained in this Website is provided for informational purposes only, and should not be construed as legal advice on any subject matter.
Read More
chevron-down linkedin facebook pinterest youtube rss twitter instagram facebook-blank rss-blank linkedin-blank pinterest youtube twitter instagram