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greedy__malone

10/07/08 1:15 PM

#60264 RE: Hoocher #60261

Hoocher FFGO is one of 35,000 pink sheet stocks trading. Throw in another 8,000 on the OTCBB.

43,000 "penny stocks" on those two exchanges alone.

These scams exist becuase the odds of being caught are very low. And if caught the penalties are civil in nature meaning an offshore scam can generally protect their money from the SEC.

Even U.S. based stock scams normally result in only civil penalties allowing the con men to walk with no criminal record at all. One can make more money than robbing a bank and face no criminal charges if caught.

In very rare cases criminal charges are brought but that is far less likely than facing civil charges which is not even likley in the first place.

Risk/reward make penny stock scams a very lucrative business.