Police bust £1m ‘boiler room’ wine scam

Posted by Rachel England on 11 August 2017 |

Police bust £1m ‘boiler room’ wine scam

Three men have been arrested on suspicion of running a ‘boiler room’ fine wine scam which is estimated to have conned victims out of more than £1 million.

The term ‘boiler room’ refers to an outbound call centre which sells investments by telephone, often using dishonest tactics.

The men, who were arrested as an address in Fleet Street, told their targets they could get up to 40% profit by investing in (fake) cases of fine wine. The victims were told there were investors waiting to buy their wines, but to make the proposition more attractive they should purchase more wine first. The victims – mostly elderly – believed their wine was being kept in storage for them.

City of London Police detective inspector Andrew Thompson said that would-be wine investors should undertake thorough research to find a reputable investment company before parting with their money: “Fraudsters will do everything they can to manipulate potential victims and convince them that they are making genuine investments,” he said.

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