Boiler room scams destroy lives yet police blame victims

Cross, Cassandra (2015) Boiler room scams destroy lives yet police blame victims. The Conversation.

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The Queensland Organised Crime Commission of Inquiry recently handed down its findings examining how organised crime has been policed in recent years. While media attention has been focused on the implications for child sexual exploitation and paedophilia, the report also made some substantial findings related to financial crimes such as investment fraud (commonly known as boiler rooms scams).

Quite disturbingly, the report notes a strong victim blaming mentality that police expressed towards individuals who invested in fraudulent companies and who subsequently lost money in these boiler room scams. The attitude of the police towards boiler room victims was largely one of apathy towards the likelihood of any investigation, and of blame towards victims for not doing what was perceived to be “due diligence”.

This finding illustrates several myths which are argued to exist around investment fraud victims, particularly around the concept of “due diligence”. It also feeds into the idea that victims are greedy/naïve and financially illiterate/not investment savvy. These are both problematic and largely inaccurate.

Drawing on examples from my own research with fraud victims, the article will illustrate the complexity and sophistication of many boiler room schemes and demonstrate the difficulties in identifying fraudulent investment opportunities.

Impact and interest:

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ID Code: 90554
Item Type: Journal Article
Refereed: No
Keywords: Boiler room scams, Investment fraud, Fraud, Victim blaming, Scams
Subjects: Australian and New Zealand Standard Research Classification > STUDIES IN HUMAN SOCIETY (160000) > CRIMINOLOGY (160200) > Causes and Prevention of Crime (160201)
Divisions: Current > Research Centres > Crime & Justice Research Centre
Current > QUT Faculties and Divisions > Faculty of Law
Current > Schools > School of Justice
Deposited On: 20 Nov 2015 05:32
Last Modified: 24 Nov 2015 02:48

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