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  • FIRST POST
    • christineb333
    • By christineb333 2nd Jul 18, 10:44 AM
    • 4Posts
    • 3Thanks
    christineb333
    How do I know if approach to buy shares is legit?
    • #1
    • 2nd Jul 18, 10:44 AM
    How do I know if approach to buy shares is legit? 2nd Jul 18 at 10:44 AM
    Hello

    I have no experience of shares but have power of attorney for my elderly dad who has a very small amount (about 400 worth of just one company's shares). Hoping someone may be able to help please ...

    I was in process of selling them following the way recommended in the shares paperwork, as this is what my mum wanted me to do.

    However, last week we got a phone call from a company in the USA saying they were acting on behalf of someone looking to take over this company and if we would sign an NDA and send details of the shares they would make us a good offer. I was very wary that it was a scam but the call came across very legit as does the follow-up email.

    Sorry - I feel unable to give more specific details about this in case it is legit and we break the NDA ahead of signing! But equally wary of giving them the details they request in case it's a scam.

    Any advice please?

    Many thanks.
Page 2
    • Paul_DNAP
    • By Paul_DNAP 4th Jul 18, 10:17 AM
    • 256 Posts
    • 324 Thanks
    Paul_DNAP
    I'm more surprised they are bothering with someone who only owns 400 worth it doesn't seem to be worth their time bilking you of that. Are you sure its just 400?
    Originally posted by AnotherJoe

    A scam such as this sometimes requires the seller to pay for some sort of "insurance bond" or "NDA fee" to guarantee that they won't blab about the takeover. This could be several grand, even for a small share holding.
    And if that is not enough to scare you off, when the transaction actually comes up you then of course need to tell them all your banking information, but instead of receiving a payment you lose control of your bank account and all your money. And the insurance bond. Oh, and your shares.
    (Although I could be wrong, I often am.)
    • AnotherJoe
    • By AnotherJoe 4th Jul 18, 10:24 AM
    • 10,565 Posts
    • 12,081 Thanks
    AnotherJoe
    A scam such as this sometimes requires the seller to pay for some sort of "insurance bond" or "NDA fee" to guarantee that they won't blab about the takeover. This could be several grand, even for a small share holding.
    And if that is not enough to scare you off, when the transaction actually comes up you then of course need to tell them all your banking information, but instead of receiving a payment you lose control of your bank account and all your money. And the insurance bond. Oh, and your shares.
    Originally posted by Paul_DNAP

    Ouch. Thanks for the info.

    Worrying that someone can think that 400 is of any consequence to a takeover and thus even think there's a possibilty this is for real.

    Lack of education about financial matters means that people are easily bamboozled I suppose. I've just had to put a relative right on why penny shares arent "cheap" - "surely a share at 40c is much better than a google or apple one at hundreds of times more cost?"
    • LobsterMemory
    • By LobsterMemory 4th Jul 18, 1:31 PM
    • 80 Posts
    • 45 Thanks
    LobsterMemory
    If you look on the FCA pages they list literally thousands of firms trying this on

    https://www.fca.org.uk/scamsmart/warning-list

    If the firm that contacted OP isn't already on the list...

    Report an unauthorised firm
    If you think you have been approached by an unauthorised firm or contacted about a scam, you should contact our Consumer Helpline on 0800 111 6768. If you were offered, bought or sold shares, you can use our share fraud reporting form.

    You can see more ways to report an unauthorised firm and find out what to do if you have been scammed.
    • AnotherJoe
    • By AnotherJoe 5th Jul 18, 12:55 AM
    • 10,565 Posts
    • 12,081 Thanks
    AnotherJoe
    If you look on the FCA pages they list literally thousands of firms trying this on

    https://www.fca.org.uk/scamsmart/warning-list
    .
    Originally posted by LobsterMemory
    Are you sure thats the right link?
    • bowlhead99
    • By bowlhead99 5th Jul 18, 6:46 AM
    • 8,235 Posts
    • 15,018 Thanks
    bowlhead99
    If you look on the FCA pages they list literally thousands of firms trying this on

    https://www.fca.org.uk/scamsmart/warning-list
    .
    Originally posted by LobsterMemory
    Are you sure thats the right link?
    Originally posted by AnotherJoe
    Seems fine to me?
    • AnotherJoe
    • By AnotherJoe 5th Jul 18, 8:14 AM
    • 10,565 Posts
    • 12,081 Thanks
    AnotherJoe
    It works as a link, but its not a link to the specific scam mentioned nor are any of the drop downs, AFAICS, relevant to this case.


    For example it starts off with "What are you considering investing in?" but the OP wont be "investing" in anything, she'd be selling shares.
    • LobsterMemory
    • By LobsterMemory 5th Jul 18, 8:28 AM
    • 80 Posts
    • 45 Thanks
    LobsterMemory
    Hi. Yes, that link is a bit of a mishmash

    I went to the FCA site and looked up a firm that had called me up with the same patter about 10 years ago. I think that was where the text came from
    • christineb333
    • By christineb333 9th Jul 18, 5:01 PM
    • 4 Posts
    • 3 Thanks
    christineb333
    Thanks again for all replies ... especially those minus the sarcasm

    (I did say I was inexperienced; hadn't done anything other than give an email; had come here to check; felt at least had a duty to check this out before totally dismissing out of hand give me a break!!!)

    Clearly I won't be doing anything other than proceed through normal channels now. Here for anyone's interest is the intermediary company's name and website: stubblefieldadvisors dot com (can't post an actual link as a newbie)

    The FCA don't list US companies to my knowledge?
    • HappyHarry
    • By HappyHarry 9th Jul 18, 6:02 PM
    • 752 Posts
    • 1,103 Thanks
    HappyHarry
    Thanks again for all replies ... especially those minus the sarcasm

    (I did say I was inexperienced; hadn't done anything other than give an email; had come here to check; felt at least had a duty to check this out before totally dismissing out of hand !!!8230; give me a break!!!)

    Clearly I won't be doing anything other than proceed through normal channels now. Here for anyone's interest is the intermediary company's name and website: stubblefieldadvisors dot com (can't post an actual link as a newbie)

    The FCA don't list US companies to my knowledge?
    Originally posted by christineb333
    Stubblefield Advisors LLC

    Google doesn't find anything out about this company except the details posted on their own website. No client references, no reviews, no providers, nothing. Not even a linkedin reference. That is just weird, and a bit scary.

    Not what you would expect from a company that "Since the early 2000s, Stubblefield Advisors LLC has been the trusted partner for strategic BUSINESS CONSULTANCIES and financial services that result in accelerated business progression, boost in efficiency and generated shareholder assets."

    It looks to me, like just a website, run by unknown people, for unknown purposes. They don't appear to be a real business.

    Other companies in the real Business Consultancy sector, especially those specialising in M&A advice, would include Goldman Sachs, Accenture and Deloitte, all of which have a far more prominent web visibility.

    I think the OP has had a potentially lucky escape. All kudos to those that helped the OP avoid this scam.
    Last edited by HappyHarry; 09-07-2018 at 6:25 PM. Reason: Typo
    I am an Independent Financial Adviser. Any comments I make here are intended for information / discussion only. Nothing I post here should be construed as advice. If you are looking for individual financial advice, please contact a local Independent Financial Adviser.
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