We have become aware that, in recent weeks, shareholders have
been receiving unsolicited telephone calls concerning their
investment in Babcock.
Unfortunately, in recent years, the shareholders of many
companies have been targeted in this way with shareholders
receiving unsolicited phone calls or correspondence concerning
investment matters. These are typically from overseas based
'brokers' who target UK shareholders, offering to buy their shares
at a discount and/or sell them what often turn out to be worthless
or high risk shares in US or UK companies. These operations
are commonly known as 'boiler rooms'. These 'brokers' can be
very persistent and extremely persuasive.
We advise all our shareholders to be very wary of any
unsolicited advice, particularly when offers to buy shares at a
discount are made.
If you receive an unsolicited approach:
- Make sure you get the correct name of the caller and the name
of his firm
- Check that his firm is authorised by the Financial Services
Authority (the FSA) before getting involved by visiting www.fsa.gov.uk/pages/register/index.shtml
- Do double check the caller is from the firm that he says he is
- by calling him back on the contact number listed on the FSA
Register
- If you have any doubts, call the FSA Consumer Helpline on 0845
606 1234
- If the calls persist, hang up
If you deal with an unauthorised 'broker', you will not be
eligible to receive payment under the Financial Services
Compensation Scheme.
More detailed information on 'boiler rooms' or similar activity
can be found on the FSA website at
www.fsa.gov.uk/pages/consumerinformation/scamsandswindles/index.shtml