For Release: November 13, 2001
CFTC ISSUES CONSUMER ADVISORY WARNING THE PUBLIC ABOUT COMMODITY SCAMS ARISING OUT OF THE TRAGIC EVENTS OF SEPTEMBER 11, 2001
WASHINGTON, D.C. -- The U.S. Commodity Futures Trading Commission (CFTC) announced today that it issued a Consumer Advisory warning the public to be wary of companies promising profits from commodity futures and options trading based on information relating to the terrorist attacks against the World Trade Center and the Pentagon on September 11, 2001, and the war on terrorism. Such sales pitches are false. The prices of commodity futures and options contracts already take into account all known or predictable market conditions, such as changes in demand for a commodity or known shortages of a commodity or problems in production or delivery of that commodity due to major events in the world.
The CFTC issued this Advisory after receiving several reports of companies attempting to take advantage of the September 11, 2001, tragedies and the subsequent world events. Consumers are advised to watch for the warning signs listed below, and to take precautions before placing their funds with any company that offers leveraged or financed commodity transactions:
To see a copy of the Consumer Advisory, go to the following Internet web address: http://www.cftc.gov/. Note to editors: The CFTC has also published four other Consumer Alerts, which can be found at http://www.cftc.gov/cftc/cftccustomer.htm - advisory.
Deputy Director, CFTC Division of Enforcement
# # #