ASIC warning - mining and regional communities at risk from investment frauds

ASIC has issued a warning to people living in regional centres about investment frauds, as evidence mounts that mining communities around Australia are being targeted. ASIC has received preliminary information to suggest that mining communities and regional centres associated with major resource projects are being targeted by people touting illegal, high-risk investment schemes. The executive director of Consumer Protection at ASIC, Greg Tanzer, said the thriving natural resources industry was attracting the interest of investment product providers. ‘The strong demand for Australia’s natural resources means there is more work and higher earnings. It’s only natural that people with a bit more cash in their pockets start thinking about investing. The real danger is when they get a phone call, investment offer or email hot tip out of the blue, offering something that looks like a good investment’, Mr Tanzer said.