The FSA has obtained a permanent injunction against a firm illegally promoting and selling shares to investors in the UK.
Treadstone Corporation Limited was found to be cold calling investors and issuing false share certificates.
The FSA was granted a permanent injunction against the firm and its sole director and owner, Thedfred Lemont Shepherd, has agreed not to take part in similar activities again.
Between May and September 2006, agents at the firm were instructed to call investors and promote shares in a Finnish company, Tramigo Oy Limited. The firm then distributed false share certificates and pocketed the cash.
The FSA found the company involved is genuine, but shares were sold for more than their market value.
Jonathan Phelan, head of retail enforcement at the FSA, comments: “We can, and do, take action to protect consumers from illegal share schemes, as is evident in this case.
“However, consumers must also be vigilant and check that the firm they are dealing with is authorised. If not, they risk losing some or all of the money they have invested.
“People should also check the FSA website for a watchlist of companies to avoid, which also 'cold call' and operate similar schemes.”
Investors who feel they may have lost out through dealings with Treadstone should call the FSA on 020 7066 0932 to discuss possible compensation.
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