More than 15,000 Britons have fallen victim to a "Boiler Room" Shares scam that allegedly netted the father and daughter perpetrators more than £35 million.

Paul Gunter, 58, and his daughter Zibiah, 25, were charged by Florida Police with with multiple counts of fraud and money laundering, which carry penalties of 5 to 25 years in prison. Both suspects are British Citizens but resident in the USA and in the process of obtaining US citizenship.

The "Boiler room" operated by cold calling mostly elderly British victims repeatedly and convinced them into buying shares in worthless companies on the basis of false claims of impending discoveries that would send the stock prices soaring.

The suspects are also accused of hijacking the identities of more than 50 publicly traded companies and selling bogus shares in the companies to victims in Britain.

Investors can guard against "boiler room" fraud by not responding to unsolicited offers for investment and always to seek qualified independent financial advice before making any investment decision. Additionally the FSA have produced a Share Investment Scams leaflet that gives further advice.

By Sarah Jones
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