re:"...I don't see where anything was done wrong I did my own research"
Over the years, I've learned the hard way to spot actual scam companies, but funny thing is, these seem to get left alone. They only seem to go after legit companies like AVXL.
Lately it seems to be bio-techs. Before that, it was resource companies.
Remember when, a while back, oil was shooting up to $100 bbl? Metals were going way up too. I traded and invested in a lot of exploratory and junior resource stocks back then. They were popping up like dandelions. The only way a new miner or driller could get noticed in the crowd was to enlist paid promotions. It was standard procedure for them. Of course the management of these little hopefuls would speak in glowing terms about their plans and make optimistic projections about future growth. A few of them even had pretty good prospects.
Then the bottom fell out of commodities. I started getting all these investor class action lawsuit alerts in the mail asking me if I wanted to be a plaintiff because I had owned the stock at some point. The ridiculousness of them got discussed on some of the boards. The boilerplate thesis was basically blaming management for something that wasn't their fault. One poster said he actually responded to one of the letters by calling them up. The law firm guy then tried to convince him to pay a substantial fee "to get things started". Sheesh. It looks like even if they know can't get anything off a trumped up case, they'll use it as an excuse to get their foot in the door then make up the difference by bilking people they manage to reel in as clients. These guys are bad news all the way around.
After a while I didn't even bother to open the envelopes and they piled up a foot high. I finally threw them out along with the other junk mail.
