Securities-fraud investigations up
DENVER ” Colorado’s securities commissioner is reporting an increase in securities-fraud investigations in the tough economy.
Colorado Securities Commissioner Fred Joseph estimated his office, which usually has about 200 active cases, has seen a 10 percent to 15 percent increase in open investigations over last year.
The cases are concentrated in oil and gas ” which took off during the first half of 2008 as fuel prices surged ” real estate and investing, Joseph said. The latter includes several alleged Ponzi schemes, Joseph said.
A spokesman for the U.S. attorney in Denver said the office also is seeing an increase in financial-related investigations.
Fraudulent schemes can become popular in good times, then falter as the economy tumbles and operators struggle to pay investors who demand their money back, experts say.
Support Local Journalism
As a Summit Daily News reader, you make our work possible.
Now more than ever, your financial support is critical to help us keep our communities informed about the evolving coronavirus pandemic and the impact it is having on our residents and businesses. Every contribution, no matter the size, will make a difference.
Your donation will be used exclusively to support quality, local journalism.
Start a dialogue, stay on topic and be civil.
If you don't follow the rules, your comment may be deleted.
User Legend: Moderator Trusted User