Red Sea Wealth Investment Institution.Jess Parker CEO of this”supposed” investment firm, has a What’s App invitation for free trial for three months, in a group called “268-US Stock Investment, which if you choose to join after you commit to paying commission from between 1-6%.
Jess Parker through his assistant Ava Evans send out the stock pick and the range to buy order. You then send a screen shot of your filled order so she can document it. In the upcoming day or days they give you a message to sell and the price target. After a few wins of these small gainers 4-10% they invite you to the VIp trial where they get a commitment from you on how much you will invest, they ten give you the stock and price to submit your limit order on a specific day.
These VIP picks are on global exchanges and it would appear mostly Hong Kong.
A recent pick was on a HKD sticke symbol $WAN 8482, and to submit a limit order for $.082. This was before the Hong Kong market was open and checking the stock it was currently at &.104.
The next day they sent out a message to sell limit at .$094 and realize a profit of just under 11%. They are suggesting to members in the group to add funds to their accounts to realize 200-300% on the next upcoming pick which they will announce on Dec. 7, also on the HKD exchange.
I am curious as to what the actual scam is here as people are in their own accounts. This Jess Parker (whom is definitely a bot as his writing would indicate), gives a markets update every day on all the global markets and suggests to get out of US stocks and into Hong Kong investing. This last “buy” suggestion they bragged how together the group bought 82milllion shares and together the group is buying like a large investment firm, and that is how he can guarantee the profits. I am guessing he is either shorting the stock at the current price and buying back and the suggested purchase price, but I really don’t know what the scam is. All the communication is done through WhatsApp.
Anyone have experience or an opinion on this?
Thank you
Tom
This is a discussion topic or guest posting submitted by a Stock Gumshoe reader. The content has not been edited or reviewed by Stock Gumshoe, and any opinions expressed are those of the author alone.
Red Sea Fortunes is now Gone. No group, no website.
Under the same Cathie Wood add there are new Groups, called Wisdom Capital Management LTD. I joined them. In WhatsApp they appeared under US STOCK LEARNING-14, then -26, then-29. Ave removed me from -26, but I am in -29.
Exact same scam Scenario is going on except Ava Evans is now Elena Ross and Jess Parker is Chris Brown.
I am just watching, not sure what action to take to stop this. All the people who are replying seem real, but sure some are fakes. I tried texting 8 phone numbers, non replied.
By the way I went through whole Facebook and wrote SCAM on all Cathi Wood offers. They are not appearing for me any longer….I dont know how to stop the scam. Ava is replying to me and saying WAIT fro reimbursement. I am convinced its BS
Ava is not responding anymore , agree its not going to go anywhere , worst mistake ever made by investing in this..
I am in the same boat as you are. Got duped on 3 HKD stocks, all tanked over 90% in a single session. Ava and Parker promised would compensate but nothing yet. I can only blame myself for my loss. Never trust anyone in this virtual world.
Massive pump and dump. 3 or 4 winners then the big dump.
I told Ava that I had more to invest and she got back to me. She asked if I was ready to hand over all of my finances to manage. I told her I would be open to doing so when I am made whole from my losses.
I fell for this scam badly. Since it was promoted through posting titled Cathie Wood ARK investors I thought it was credible— boy was I wrong! Their provided trade recommendations / history looked reasonable and most known US stocks with modest gains. Their hook was advice in exchange for ~5% of profits as I recall, but this ended up being pure pump&dump scheme. Since they gave investment instructions and then bled stocks empty, they made no account transactions. I don’t think there is any way to pursue recovery either. This was devastating to our retirement funds and so I post this just to warn in whatever way possible STAY AWAY!
They are scammer
Modern-day Thugs can go to any extent to take your money. Stay away from nightmares. they will win your trust with small wins and then lure you to invest in a one-time opportunity and then short the stock.
All trading group on Whatsapp are scam. Run away from it. Many of my friends including me lost lot of money. You will lose all your money
THere will be a chief guy who promises that he will refund the money if you lose it. ANd there will be secretary, who will ask you invest on penny stocks. When the price goes up then they dump the eir stock and you will left out with nothing on your account.
Please expose these scammers in all their groups after they tell them to invest in stocks, that way they will be stuck in penny stock!
Red Sea is now Windsor. Same deal. Recent recommendations are on the NYSE. I expect soon they will switch to the Hong Kong exchange.
Can you share a link, we can then get on there and warn others.
That’s an invite only group. I am a part of it right now. But I am only trading penny stocks since they are giving away 100-day VIP trial without any fee. I will take advantage of the fre trial and will walk away. Elena Rose is really trying to be friendly with me and I get her intentions to get me to sign the contract once VIP period is over.
How can I join this group Mike?
You should be able to share the WhatsApp group so we can join? It would be good to get on there and see what is happening. I am sure they will be glad to send the invite out.
I myself got kicked out for spreading the word by sending this article’s comments to group members.
This is a pump and dump operation bringing large numbers of gullible investors to buy together based on their recommendations. And then of course the dump of cheap priced stock they had acquired
The same happen to me. I lost over $100,000.00. We need to report this ASAP!
Jorge, you don’t have to join the FB group in order to file to SEC. The group is for people want to contribute their data and to fight the crime. Only if that’s what you want, then you need to request to join.
Here is the link to file complaint to SEC:
https://tcr.sec.gov/TcrExternalWeb/faces/pages/accept.jspx
I also offer the group a guideline on what to expect in SEC’s questionnaire, you can read through the PDF before you file, be sure to keep your submission number from SEC when you finish the filing.
https://www.dropbox.com/scl/fi/w3lqq7e36u44wpoiul6nk/SEC-Complaints-Form-Full-Note-Flat.pdf?rlkey=v2xcg4lx8xzkll8jymmpepgj0&dl=0
Thank s, I’ll complained and exposed them.
I would like to be in the Facebook account too to filed a complaint and get our money back.
When you request to join, you should read our group rule and agree to it. we are not able to provide legal advise, and help you to get your money back.
Hi Jorge,
I lost a lot of money too. How and where do we report it?
I requested to be part of the Facebook page. Please add me. Thanks
Please check your messenger, group admin has reached out to you request further information.
Add me also plz!
https://www.facebook.com/groups/2094278114264250/
hi, i don’t see any messages. Do you have an account you sent it to. thanks
Look in your FB Messenger, from an FB profile Bonbon Wanton.
Can I get a link to the Facebook page please? I cannot seem to find it on a search.
https://www.facebook.com/groups/2094278114264250/
I was able to trace a redseafortune.com and the finding are not favorable. They are in hong kong – China. So, it might look that this operation is running from there. They could be the owner of these Stocks and that is how it could be manipulated and bough at a price target until they pulled out and make all the money themselves. We need to get together and we need a good Lawyer Firm to fight this. Any Suggestions? You also got the IP related to redseafortune.com on the pictures. I am trying to collect as much information as possible in a word document to give to the authorities. I am filing SEC complain and IBK too. Please, add me to the facebook took.
Jorge, this is just their old website. their new website is registered at New Jersey this time. The new website is also not available now. respond to your request through messenger already, please check.
more info:
more info.
more info
more info on location
Here is the last one.
Jorge, can you contact yellowstone999 with my google email. I am writing a response to Hong Kong SFC. They did ask me any potential Hong Kong address. You may be able to help me get the more detailed address. Why did they also have an address from the mainland China. Thanks,
Most of the addresses are in Chengdu China – not Hong Kong.
If you lost $ on Red Sea or one of the other scams, you may want to join our WhatsApp Victims Group. We have collectively lost $2.5 million. We are exploring possible ways to recover our losses.
You can email me at davidrstahl@gmail.com
Please provide cell phone number and amount lost. We would also ask that you have a Zoom call to establish you are real. Thanks.
Here is an email from Interactive Brokers, (which coincidentally is the brokerage firm these scammers recommend).
Dear Client,
We are writing to you to let you know that global regulators and law enforcement agencies, including FINRA and the Hong Kong Securities and Futures Commission (“SFC”), have noted an increasing trend where investors are being targeted by scammers trying to manipulate unwary investors into purchasing stock in certain companies which ultimately result in profits for the scammer and large losses for the investor. These scams are often perpetrated via social media. The scammers work to establish a relationship of trust (sometimes under the pretext of friendship or romance, or a claim that they are a famous investment advisor) and may encourage the investor to join an investment group on a social media platform or chat app, where investment advice is disseminated. The scammers then tell the investor to purchase shares in specific companies at inflated prices based on some non-public information or connection that the scammer claims to have with the company or its management. Typically, the scammers encourage investors to purchase thinly traded stocks with low market capitalization (including “penny” stocks), which are easier for the scammers to manipulate and profit at the expense of the investor. Once the investors follow the scammer’s instructions and inadvertently push up the price of the stock by buying shares, the scammer can then sell their own large holdings which can then dramatically reduce the price of the company’s shares. This type of scam is known as a pump-and-dump or ramp-and-dump scam. This can result in large losses for the investors.
FINRA recently explained this trend in an Investor Alert titled, “Social Media ‘Investment Group’ Imposter Scams on the Rise,” available here. The SFC has also published guidance regarding these scams at this link. For further examples from IFEC, please click here.
We encourage you to please take the time to read and understand the following key points:
Be skeptical
In the virtual world, fraudsters can easily disguise themselves. Be skeptical of the identities of anyone you meet online, particularly if they claim to be an investment advisor or celebrity. Be especially vigilant when offered unsolicited investment advice by online “friends.”
Pay attention to warning signs
Below are some red flags that may be signs of a scam, including ramp-and-dump scams:
Unsolicited investment advice.
Substantial share price increase without positive news about the company.
Suggestions to purchase small cap stock with low liquidity, especially if many of the shares are held by a small group.
Your online “friend” asks you to send a screenshot of your trading record.
Do your homework
Many of the stocks recommended by the operators of these scams were overvalued and there was no obvious justification for their prices to surge. Investors are strongly advised to do their own homework on a company before investing in it, or seek independent advice from licensed investment advisors.
Be wary of investments that sound too good to be true
If an investment sounds too good to be true, it often is. Remember that there is no such thing as a low-risk investment with high guaranteed returns—a claim frequently used by fraudsters to entice unwary investors by manipulating their fear of missing an opportunity.
Please also remember that Interactive Brokers does not provide investment advice. Be wary of anyone stating otherwise.
Interactive Brokers
Interactive Brokers LLC, member NYSE, FINRA, SIP
Wisdom Capital Management is a new Name. can we please add to the title so that it is easy to search? also CHRIS BROWN, JASPER LIM, AND ELENA ROSS.
https://www.temasek.com.sg/en/news-and-resources/news-room/alerts/2024/clarification-wisdom-capital-management