FCA Issues Warning Against Another Clone, Unauthorised Firm

The FCA said that fraudulent clone companies were on the rise.

The Financial Conduct Authority (FCA) today warned against Alpha Consulting, the latest in its series of warnings about clone firms posing as legitimate approved businesses in their attempts to con UK consumers into making payments for investment services.

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According to the UK financial watchdog, fraudsters based in Bishopsgate, London are using the name Alpha Consulting for investment consulting operations designed to attract newbie investors who are not aware of the existence of regulatory registers and are ill-informed to take investment decisions.

The fraudsters have been using a fake website – www.alphaconsultinguk.com – and the FCA warned that Alpha Consulting is indeed attempting to mislead investors that it is offering a legal product through using the details of an authorised firm operating under the same name.

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In response to this wave of fraud, the FCA said that fraudulent clone companies were on the rise, and last month’s list demonstrates that this shows no signs of abating.

This latest case is another example of a clone attempting to scam individuals through the deployment of illicit means and misleading information. The FCA added in its statement that clones employ the tactic of adopting a legitimate company’s name when they cold call potential victims, and thus it urges caution in the event that individuals are contacted by anyone claiming to work for the firm in question.

The watchdog has also advised investors to ensure that they only deal with financial firms that are authorised by checking the Financial Services Register.

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