Spam or a telemarketers cold-call, is an example of mass marketing. Savvy people usually recognize a scam, when they see or hear one. Sometimes, though, scammers ensnare unsuspecting people, and cause them to donate, or invest, money. Mass marketing fraud is a form of fraud which uses mass-media to contact, solicit, and obtain, money unlawfully. These are fraud schemes, plain and simple. In some cases, they may be legitimate businesses – which just didn’t end well. In order to recoop money, prosecutors may claim they were fraud – in order to help client money back. Mass marketing fraud affects millions of people, and has huge consequences.
Examples of mediums that mass marketing fraud schemes use, include: mail, email, sms, phone calls + faxes, websites, radios, and more. Most mass marketing schemes involve the presentation of a solicitation to a vast number of victims in an attempt to prey on the most gullible. There are three major types of mass marketing fraud cases we handle: advanced fee fraud, bank and financial account schemes, and investment opportunity fraud schemes.
Advanced Fee Fraud
This is built on the principle that a victim will be given a substantial payout, but has to pay in advance a tax, or fee, before the person can receive anything. Below are some examples of advance fee fraud cases our nyc criminal attorneys handle.
- Auction schemes: They induce victims to send money for an item – but then send nothing, or an item far less valuable.
- Online work at home – These offer people the chance to work from home, and earn high income. They require the victim to pay for initial start up materials, but don’t ever deliver any product or information needed to make the opportunity viable as a business.
- Credit card interest reduction: They offer to help consumers lower their credit card interest rates, and charge an upfront fee without doing anything.
- Inheritance: Victims are contacted claiming they are entitled to an inheritance from someone who has died. The victim is directed to make a payment for a fee before the inheritance be distributed.
- Sweepstakes: In order to claim a winning lottery ticket, the victim has to pay “fake taxes.”
Bank and Financial Accounts
These schemes involve involve, and identity theft. They use someones information for financial gain.
The US department of justice categorizes investment fraud as something which uses mass marketing schemes to manipulate securities markets for personal gain.
- Pump and dump – Schemes which offer high yield returns on investments through releasing fake information. This fraud involves dramatic price increases in stocks for nonexistent companies, and then immediately selling off the stocks to return substantial profits before the stock price falls.
- Short selling – This is similar to pump and dump, except false information is released to cause price decreased in a stocks price using mass media.
We can help
Mass marketing fraud can be a a federal offense. Under federal law, fraud is defined as falsifying, or covering up any trick/scheme as a material fact. In addition, fraud is defined when you make materially false statements. Marketing fraud is a federal offense, when the fraud crosses interstate lines. If your mass marketing fraud cases involves either computers, mail, or wires – then you could be convicted of also computer fraud, mail fraud, or wire fraud.
Our NYC mass marketing fraud lawyers have experience virtually every type of fraud case and can help you. Get a risk free consultation today to learn more.