FRIENDS told Steve Tams the investment scheme he was putting '35,000 into was too good to be true . . . and they were right.
Steve ploughed his life savings into what claimed to be a share issue scheme for a Florida health club company called Slenderlife. But the shares were worthless and the conmen had no links with Slenderlife.
Steve was the victim of a "boiler room'' racket in which teams of conmen pose as businessmen over the phone. He now believes more should be done to prevent other people falling foul of such elaborate cons.
He said: "I may look a bit of a mug, but I don't want to keep quiet about it. Unless people come forward and admit that this has happened to them it will keep happening, because others will not be aware it is going on.
"I thought I had done all my homework, checked everything out and parted with my money carefully, and yet I still got caught. I don't want this to happen to other people.''
Steve, of Cundiff Road, Chorlton, was telephoned in September 2002 by a company called Cambridge Global, which said it represented Slenderlife. He made inquiries on the internet, examining the Slenderlife website and calling the company's Florida health centre.
Elaborate
A man at the Florida centre assured him Slenderlife was a genuine company. Steve said: "The next call I got was from one of the usual guys who phoned me from Cambridge Global. They asked had I got cash to invest.
"I put '5,000 in, received the paperwork for my shares and told them I would see how the shares performed before I put any more in.
"But then they called back and said a huge US investor was going to put $20m in, which would send the price of shares sky high.
"Everyone told me not to do it, but I went to my building society, took out my '30,000 and transferred it to their account, which was in Hungary for tax reasons, or so they said.''
Steve then received a call from Cambridge Global saying his shares had already gone up from $2.20 to $3.90 and asking if he wanted to buy more. He decided he had spent enough.
But Steve heard nothing more for four months. A financial adviser he asked to review his finances examined the so-called shares and then told Steve he had fallen victim to an elaborate con.
Steve learned that Cambridge Global had no genuine links to Slenderlife and no authority to sell its shares.
He added: "No one really seems to be able to do anything. I am not looking for sympathy but I would like to hear from other people that this has happened to and maybe someone can explain just who should be looking into this on our behalf.''
A spokesman for the Office of Fair Trading said: "We can take part in civil actions abroad that involve UK people and we can often provide information that can be used in criminal cases abroad.
"But a lot of operations like this use post office box numbers and the people involved are very mobile, so sadly it is easy for them to disappear.
"Our advice would be for people to contact us or their local trading standards office if they have any suspicions about what is being offered.
"Someone you don't know ringing you up and offering you ways of making a lot of money is the stuff of fairytales. If people want to know how to make money on shares they should speak to a reputable fund manager.''
Comments
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Kudos to Steve for having the gumption to admit being had. Scammers rely on guilt, shame and ridicule to keep their victims silent. This allows them to continue to operate with impunity as they simply change names and start again. Some victims are fighting back at www.boilerrooms.co.uk while more info on such scams is available at www.crimes-of-persuasion.com
Sadly, the authorities appear to do little to stop this international epidemic even though the main perpetrators are identifiable long-term crooks.
I've been had too and in fact lost even more than you but it's not my life's savings so your loss is hugely greater. I just have the embarrassment of explaining it all to my lovely wife who smelt a rat right at the start and I said "trust me", o boy do I feel a prat. If you have investigated www.crimes of persuasion.com you've possibly found the means of getting your details to the Hungarian Police who are aware of the fraud and investigating. Some of your money may be currently held in a frozen account in Budapest (well that's what I've been told) but it's all come to a criminal investigation including the arrest and detention of a number of people formerly involved with Cambridge Global. It's probably worth writing with your details to the Hungarian police which I intend to do but finding someone who can translate into fluent Hungarian has to date eluded me. Tara for now Dick
I am so sorry for Steve losing his money. I am actually a client at slenderlife, and looked into opening a franchise in the D.C. area. I submitted my info to the REAL slenderlife, and never could get any info from them. I'm curious if when Steve contacted the real Fl. business, he mentioned the names or contacts of the scam artists to them. Was any paperwork supplied that showed the same logo work? As far as I know, you cannot buy "stock" in the actual Slenderlife. If a representative of that company gave you any misinformation, I wonder if they can be held partially liable? I feel very bad for Steven, but I do have to say, if it had been a genuine sales experience, you would have made the right decision, because the Slendelife business is does work miracles.
I wish you luck, Kathy
I too lost money with slenderlife through Amhhurst international. If you haven't already done so go look at www. slenderlife.com/slir
I had B#50k to invest but felt uncomfortable so only lost B#5k or just over ($8000 ) I have a share certificate signed by Larry Pettit although if it has any value or validity is another thing. According to the site it does!
I am happy to colaborate with any fellow victims. Rgds Fred.
I did exactly the same but only with 1500 US$
i also invested heavily following deep investigations,i was initially approched by archie palmer of cambrige global. i then rang a mr. giles bucannon in london who said he had made other succesfull transactions with cambridge global. i then spoke with Larry Pettite the c/o of slenderlif international. and i also rang richard green who was the lawyer for slenderlife and he was responsible for the issuing of the share certifcates i have two share certificates totalling 65,000 shares.Does anyone know if they are worthless or not? thank you
I too had the same experience and paid money via hungary B#40,000. I have been unable to find anything but had a phone call from a man in japan wanting to buy the shares from me so a third party could get control of the technology. he will pay $ 5 a share but there is a cut off date of 6th June. Is thsi part of the scam still??? Any ideas how to check it out? or even nail the man in japan if a fraud? I would welcome any comments.
The last days I had contact by phone and mail with Mr.Franco of Phoenix Alliance International.
I made an agreement with him to sell my shares. Everthing seems okay.
I also bought a few shares. Yesterday I was called from Michael Ellis of Phoenix.... (Osaka !) and would buy my shares for a third firm.
$5,24 each -/- 2% for the fact they sell the shares for me.
I too bought slenderlife shares and have been contacted by Phoenix to buy them. But are they for real, only web site I found looks a littl odd and why the rush. Anyone know any more?
Phoneix also contacted me offered $5.75 a share for 32,000 slenderlife shares has anybody else found anything out yet
To Paul Smith, East Midlands
I also have recently been contacted by someone offering to buy back the shares for an over-inflated price. Have you any more info on your contact?
I have been contacted also, as I have meny time is the past to sell share in Manex by Phoenix Alliance International @$6.50. I have found that the shares are restricted. I feel that this is why I was contacted as to get these share unrestricted I would have to pay between 5c to $2.00 per share to the buy to get the restriction lifted. You will only pay, never receive.
i have just been contacted by montgomery & tate to buy my 21,000 shares at 6.95 dollars a share for a third party. Has anyone else had the same call.
A Howard Carp of Chadwick Seymour Associates has been trying to get me to sell my "shares" for around 25 dollars (!).
I told him that his "client" was welcome to them but would have to cover all upfront costs as I was not prepared to spend another penny on them.
The phone line mysteriously went dead, mid-sentence and I have not heard from him since.
Anyone caught by these scams should visit www.boiler-rooms.co.uk for support and advice
I too have been contacted by Chadwick Seymour Assoc offering to purchase shares back at approx $25 per share - these are not for the health club company though. He claims to be calling from the US but calls me at 11am UK time - all very strange! Having read other comments, I now shall be even more wary - thank you.
Has anyone else in the UK been approached to sell National Rapid Press shares by a "R Abreegian and Asssociates in Montreal, Que Canada? #514-575-4787
It seems that the boiler room con is not limited to Europe or America. I'm here in Asia too, have fallen into a trap.although the sum is neither small nor huge, still its all hard earned money to all of us. I wish there ways to recover the money back but all in all its a wasted and real foolish way of throwing money unneccessary iin view of supposely getting a better earnings on your investment.
i purchased shares back in 2003 and never heard anything until recentlyapproached by montgomery & tate to buy the shares back from me,unsure what to do now.
I am currently talking to New York Atourney Generals office.They are checking out Montgomery & Tate for me .I will advise you on th outcome.
I paid US$3000 to lawyers for Prudential International Equity Group client to purchase Slenderlife shares a few months ago. They also wanted me to pay tax withholding of US$18000. I didn't continue. Now I have a communication from Howard Carp of Chadwick & Seymour of Wilshire Boulevard, Beverley Hills, California. He wants US$19800 to pay lifting fees because the shares are REG S i.e. foreign nationals only. It would be an olive branch after all the hassel but Amanda makes a good point about suggesting that they pay all the fees up front. How can you reasearch or be sure you are not throwing good money after bad, they might say they guarantee to refund the fees in the case of non completion of the purchase but how do you ensure it without considerable expense.
To REG, UK
08/06/2005 at 17:33
I was approached by Abreegian & Assiciates to purchase shares (MGFFF) "on behalf of a client" from me. they want me to pay ~1500Euro in advance to guarantee the payment of 17,700Euro.
it smells bad, can anyone tell me how to act?
thanks
J.
I got suckered on this Slenderlife Scam some two years ago some $ 4.500.
I have recently had phone calls from this guy Howard saying he had a buyer at $ 30.00 per share but I had to pay $ 2.25 to have this restriction lifted. I would love to sell the dam shares but don't want to get caught again with this fee,
Any suggestions
i have montgomery & tate ringing every day wanting to buy my shares but they want me pay a restriction fee of nearly B#10.000, has any body else had this? does anyone have any advice?