We have
classified the stock frauds into various different types.
The Flying Companies
In the last
decade of nineteenth century IPO was the buzzword of the stock
markets. Investors were lured due to the hefty returns on the
listings. It was the IPO boom. There were however no stringent norms
for the companies to come out with an IPO.
Brokerage Misguidance
Though
brokerage firms in India do these kind of misguidance to its investors
very frequently but are never proved to be misleading advise however
in USA they are frequently brought into the courtrooms. Most of the
brokerage firms are involved in some of the controversies JP Morgan
Chase, Morgan Stanley or Credit Suisse are no exceptions. We have
compiled the manipulations done by most of these brokerage firms
Technology
Frauds
Technology
has entered in almost every area of our life and the Stock Market
operations are no exception to that. Stock markets have become more
susceptible to the frauds perpetrated by using or manipulating the
technology.
Market
manipulations
Twice in the
history of the stock markets in India single person succeeded in
Manipulating the share prices on large scale. Ketan Parekh and Harshad
Mehta get the dubious distinction of being the Stock Market
Fraudsters.
Broker Fraud in Banglore: A broker cheated his clients when the
shares were compulsorily D-materialized.
