How to Report Investment Fraud


Investment fraud is far more common than most investors would like to believe. Fraud in connection with financial investments is not limited to companies lying about their financial stability to convince investors to purchase shares of company stock.   Investment fraud also involves a wide array of improper behaviors on the part of financial advisors, money managers, broker-dealers, and investment professionals. Recently, many investment fraud victims were misled by deceptive sales tactics which lured them into purchasing oil and gas investments. These individuals were told that they were placing their money in safe high-yield investments, but in reality the investments were very high risk and ultimately lost more than half of their value due to plummeting oil and gas prices.

If you were the victim of oil and gas investment fraud or if you otherwise believe you have been harmed by misleading or deceptive financial practices, you have important legal rights. You may be able to pursue a claim to recover for your losses with the help of an investment fraud lawyer. Victims and other individuals who become aware of fraud should also report improper activities to the federal government. When you file a report with the appropriate regulatory authorities an investigation will be launched to protect other investors from suffering financial losses. Zamansky LLC can assist you in pursuing your damages claims and we will take all appropriate legal actions to combat suspicious and dishonest behaviors.

How to Report Fraud

You have several options for reporting fraud when you suspect wrongdoing. For example:

  • The U.S. Securities and Exchange Commission (SEC) has created a Center for Complaints and Enforcement Tips. The SEC center includes an online form to file a complaint along with “fast answers” about investments and federal securities laws. The SEC accepts complaints involving all types of securities law violations, including Ponzi schemes, pyramid schemes, high-yield investment programs, manipulation of a security’s volume or price, insider trading, misleading or false statements about a company, abusive naked short selling and other fraudulent conduct.
  • The U.S. Commodity Futures Trading Commission (CFTC) also accepts complaints online for suspected violations of the Commodity Exchange Act and Commission regulations. The CFTC investigates complaints related to fraudulent representations which convince clients to trade futures, options, swaps, forex, or leveraged transactions. The CFTC also investigates complaints related to cheating, fraud, disruptive trading activity, misleading trading activity, and insider trading of futures, options, swaps, forex, and leveraged transactions.
  • The Financial Industry Regulatory Authority operates an investor complaint center which addresses problems involving: buy/sell orders; brokerage firms or brokers; insider trading; manipulation of securities volume or prices; investment advisor and financial planner misconduct; and issues with 401Ks, pensions, and retirement plans.

Depending upon the specifics of your situation, you may also file a complaint with certain other authorities on the state and federal level in order to initiate a fraud investigation.

Filing a complaint with a state or federal agency is not always your only option, particularly if your goal is to recover financial losses. If you are considering pursuing legal action against investment advisors or others in the financial industry that have caused you to suffer losses, your best option may be to consult with an experienced fraud attorney who can advise you on all of your options. Contact Zamansky LLC to learn more about how we can assist you in reporting fraud or filing a complaint.