The Financial Services Authority (FSA) is warning over 11,000 shareholders that their details are on a so-called “suckers list” compiled by fraudsters who are trying to sell worthless shares over the telephone.

These criminals are known as “boiler room fraudsters”, after their illegal share selling operations. The FSA has urged individuals to be cautious of “smooth talking” individuals who are pressuring people to buy overpriced or non-existent shares.

Obtaining the database from the Canadian authorities, who have been trying to target the conmen, the FSA stated that the list contained names, addresses and phone numbers that had most likely been sold to other fraud gangs.

Boiler room fraudsters are also thought to use the names of real, legitimate stock broking firms to sound more credible. Anyone being cold-called about buying shares has been advised to inform the FSA immediately. 

Head of retail enforcement at the FSA, Jonathan Phelan said: “these criminals sound authentic, are smooth talkers and can be very persistent. If anyone calls you out of the blue offering to sell shares, just hang up or you stand to lose a lot of money with very little hope of ever getting it back.”