Background check saved clients assets
How a background check saved one man $200,000… and can do the same for you!
A California man (who shall remain anonymous) narrowly avoided a $200,000 loss. No sooner had he decided to hedge his bets on investments abroad, than was he contacted by an investment group in Southern California. The company boasted capital gains reports, provided informational documents and and a Huntington Beach address. Just before pulling the trigger, he turned to the licensed private investigation team at Paramount Investigative Services, Inc. for peace of mind. These experts unraveled an elaborately disguised scheme that traced back to a group of criminals. A mere $500 background check with document validation protected a lifetime of savings.
“You wouldn’t believe how crafty scam artists are,” said Ken Childs, lead investigator on the case.
And their deception is unbelievably successful.
The SEC issued a special bulletin in August warning consumers that investment fraud is at an all-time high. In a time when millions of out of work Americans are looking for alternative means of income generation. Scams are on the rise and finding even more elaborate and targeted means to extortion.
Take the account of three Sacramento men are now doing federal time. In a matter of months, the trio milked $11 million from victims who believed they were investing in securities.
Similarly, in March a Southern California conman was busted for selling investments in bogus Covid-19 research and development investment. He went as far as producing documents that showed NBA legend Magic Johnson sat on the “board” of his company. Fake laboratory footage on the “company” Instagram page garnered more than 633,000 views, and videos of the purported “miracle pill” were seen by over a million users before federal authorities put the 53-year-old behind the scheme in custody.
But with proper vetting, the power to protect your investment dollars is within reach.
Start by employing a licensed private investigation firm to validate claims and run background checks on all individuals and entities involved in any potential investment opportunity. Even smaller requests, such as investing in someone’s business concept or joining a real estate investment group should be vetted. You may hold convincing documents in your hand, but an investigator will be able to sort through the facts and fluff. A deep dive will help validate documents, generate a report on licensing history, criminal backgrounds and more. The most comprehensive information will only come from a licensed private investigation firm – beware of instant checks obtainable on the internet, as these are likely only public information hubs, or even scams themselves.
So could you stand to strike it rich, even in these uncertain times? Economists say yes, predicting booming futures for smart innovation and investments. Recall that gig economy giants Airbnb and Uber were birthed in response to economic recession. Perhaps your start-up investment will yield the next big thing, but just remember to take it slow, and protect your investment.