The FBI warns the public about criminals targeting US stock investors through social media platforms and messaging service applications (apps). The scheme, known as a “ramp-and-dump” stock manipulation, targets US investors through online engagement, often via social media advertisements or messages promoting an “investment club” of fellow investors, some of which may be bots or fake accounts.
These promotions typically direct victims to secure messaging apps where the group operates. To appear credible, perpetrators may impersonate legitimate brokerage firms or well-known stock analysts. They secretly control a large volume of a low-priced stock and coordinate efforts to inflate its price (“ramp up”) by encouraging investment club members to purchase shares over a period of several weeks or months. Once the price is artificially elevated, the criminals sell off (“dump”) their shares at a profit, leaving unsuspecting investors with significant losses as the stock value collapses.
Read more…
Source: U.S. Federal Bureau of Investigation Cyber Division
Sign up for the Cyber Security Review Newsletter
The latest news and insights delivered right to your inbox.
Related:
- US Supremes deny Pegasus spyware maker’s immunity claim
January 9, 2023
The US Supreme Court has quashed spyware maker NSO Group’s argument that it cannot be held legally responsible for using WhatsApp technology to deploy its Pegasus snoop-ware on users’ phones. Facebook and its WhatsApp subsidiary sued the notorious Isreal-based software company in 2019, alleging that NSO exploited a zero-day bug in WhatsApp to remotely drop Pegasus ...
- New York Adopts Law Protecting Power Grid from Cyber Attacks
January 4, 2023
New York Gov. Kathy Hochul signed legislation to create cybersecurity protections for the state’s energy grid. The legislation (designated A.3904B/S.5579A) will require utilities to prepare for cyberattacks in their annual emergency response plans, just as they would for storm or other hazards. The new protections also give the Public Service Commission enhanced auditing powers to ensure ...
- Cyber attack leaves six North Carolina counties locked out of their online records
December 30, 2022
They’re responsible for keeping and protecting your most important records, but Thursday, a company that works with local governments across North Carolina has been paralyzed by a cyber attack with no end in sight. Cott Systems said they work with 300 local offices in 21 states, but right now that work is on hold and local ...
- Hackers stole data from multiple electric utilities in recent ransomware attack
December 27, 2022
Hackers stole data belonging to multiple electric utilities in an October ransomware attack on a US government contractor that handles critical infrastructure projects across the country, according to a memo describing the hack obtained by CNN. Federal officials have closely monitored the incident for any potential broader impact on the US power sector while private investigators ...
- Louisiana: Lake Charles Memorial Health has possible cybersecurity incident
December 26, 2022
Some Lake Charles health care system patients may have had their information involved in a cybersecurity incident. The Lake Charles Memorial Health System on Friday mailed letters to some of its “patients whose information may have been involved in a recent cybersecurity incident,” according to a news release from the company. On Oct. 21, the system’s information ...
- What Can Schools Do Against the Onslaught of Ransomware?
December 22, 2022
Cyber attacks have become a pressing issue for K-12 schools, but school districts aren’t waging the fight alone. A variety of free federal and state resources can offer guidance and assistance, while cyber best practices and automated and managed services can help schools get the most impact from their limited budgets, said speakers during a ...