The flood of information available to consumers is arguably the most dramatic development in the marketplace of the '90s. Although still in its infancy as a marketing medium, the Internet promises to grow exponentially in the next several years. As reliable and secure payment mechanisms are refined, the Internet's potential as an electronic marketplace is likely to explode--and the use of the Internet for investment purpose continues to grow each day.
Certainly, while most individuals have honest intentions, and use the Internet as a legitimate investment tool, others with less-than-honest intentions may seek to distribute information and advice in order to manipulate the price of certain stocks or to take advantage of unsuspecting investors.
The Internet offers potential criminals some powerful advantages. It enables them to identify potential victims more efficiently by tracking and profiling a consumer's Internet activity. It also offers low operating costs, anonymity, and instant access to consumers around the world.
Ease of entry means that the Internet is fertile ground for fraud--and consumers need to realize that they can be victimized very quickly in cyberspace, and that the damage may be significant. Entire transactions, from offers and acceptance of payment and perhaps delivery can be accomplished with just a few keystrokes.
Because of these considerations, the Internet presents unique challenges for securities regulators-- and challenges for consumers to consider as well.
Points to Remember....
- Protect Yourself
- Ask Questions; Check Out Information
- Consult Other Resources; Use Sound Judgement
- Contact the Regulators
DISCLAIMER
The Secretary of State, Illinois Securities Department or their information providers shall not be liable regardless of the cause or duration, for any errors, inaccuracies, omissions or untimeliness of the information, or for any delay or interruption in the transmission thereof to the user, or for any claims or losses arising therefrom.
|
