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New Zealand warns of global pump-and-dump scams using fake social media ads to trick investors into losing money on low-value stocks.
The New Zealand Financial Markets Authority warns of a growing pump-and-dump scam using fake social media ads impersonating prominent business leaders to lure investors into WhatsApp groups promoting low-value overseas stocks.
Scammers inflate prices through coordinated buying, then sell high, leaving victims with losses.
The scheme is part of a global network linked to U.S. and Chinese firms, with the FMA collaborating with overseas regulators like the FBI’s IC3.
Victims may later be targeted with false compensation offers.
The FMA urges caution with social media investment advice, reporting of suspicious activity, and avoidance of recovery scams.
Nueva Zelanda advierte sobre estafas globales de bombeo y descarga que usan anuncios falsos en las redes sociales para engañar a los inversores para que pierdan dinero en acciones de bajo valor.