In Nevada, regulators brought criminal indictments against individuals involved with the Sterling Group, which sold supposed interests in the profits from infomercials for products such as water-filled barbells and talking dog tags. Indiscriminate cold-calling backfired on one boiler room operator when cold callers unwittingly telephoned state securities examiners at their offices. Often firms try to cash in on seemingly respectable names. South Dakota took an action against a foreign exchange operation called Trump Financial. Ironically, the bull market on Wall Street has made it easier for boiler room crooks to operate.
Investors have rights when it comes to dealing with cold callers selling stocks.