Another Pump and Dump scam bites the dust (QSMG)
May 8, 2017
Just when you thought that all the gullible people have wisened up, another pump and dump email scam emerged on April 11, 2017. This one was pumping up a Pink stock with the trading symbols: QSMG. The company owning those symbols is Quest Management, Inc., which was based in Latvia at the time of this writing.
Quest Management lists its company profile as the following:
Quest Management, Inc. engages in the development of marketing channels to distribute fitness equipment products to wholesalers online. The company was founded on October 12, 2014 and is headquartered in Malta, Latvia.
Keep this in mind as you read the details of the failed pump and dump scam that just finished its disastrous run during the first week in May, 2017.
Seven days before the pump campaign began, on April 3, 2017, QSMG stock was worth $1.05 per share. One week later, they issued a press release about their intent to purchase a little known biotech company and their stock soared up to $2.33 on April 13. Remember, QSMG deals in fitness equipment, not medicine. Somebody, or a group of people conspired to blow that announcement way out of proportion via fake news in a huge email spam blast that began on the morning of April 11, 2017. The details will fascinate you as you delve into the twisted minds of pump and dump scammers and their fake news writing techniques.
The email scam pumping QSMG stock arrived with the following totally false subjects, in chronological order, beginning with April 11, 2017 and ending on May 2, 2017.
- This biotech has developed a cure for cancer and its shares are soaring.
- This company found a cure for cancer. Their stock is flying.
- An imminent green light from the fda will send this drug maker soaring.
- Here is a tip that could change your life
- I have a tip to share with you
- This company's being acquired tomorrow
- Your chance to make an amazing move is quickly slipping away
- This is your opportunity to get a 20 bagger in the market very fast
- Here's a life changing tip that will guide you through trump's America
Some of the email body text used to ensnare gullible investors included the following hooks:
- This is a super rare opportunity that may never come again. This biotech company has finally found a cure for cancer after more than 20 years of stem cells and immunotherapy research.
- QSMG is guaranteed to hit 25 bucks a share overnight once they release their announcement to the public. You really need to think about buying shares right now before it shoots up higher.
- One of my friends at Goldman told me to buy QSMG this morning. He is an expert at this stuff and has never let me down before.
- Their biotech arm, Stemvax has developed a cure for cancer and just completed successful human trials under the FDA's supervision.
- Once QSMG's official announcements for the cure become public, there's no saying how high their share price will go.
- The doctors at QSMG have been working nonstop for more than 20 years to get to this moment a cure for cancer.
- I have a good friend who works at the fda, and from time to time he tells me about things before they happen
- In less than 2 days, this stock will go up 20 times overnight.
- Write this symbol down, it's the first letter of each word: Quest Science Management Gate that's q followed by s then m and g
- This means that if you can put 10 thousand in right now, you will take out 200 grand by Thursday morning.
- The symbol for this company is the first letter of each of the following words: Quick, Should, Must, Get.
- Let me put this in perspective for you. It means that every 10 thousand bucks you put in this will turn into almost a quarter million when the news is out
- Special circumstances call for special measures, and a friend of mine reached out to me over the weekend telling me that there's a small company on the verge of being bought out by a top 500 firm.
- Take it the way you will, but watch symbol : Quick Sure Mary Garage (use the first letters of each word to make up your 4 letter symbol which you'll use to buy the stock)
All of these claims are totally bogus. The only people who made any profit were the ones who first bought into this stock in the days before the pump began. They were able to double their money in two days. Then, one by one, they sold all their shares and cashed out, causing the value of the stock to plummet.
One week after QSMG peaked and the scammers cashed out, it dropped down to 72 cents a share. This decline continued unabated and as of May 5, the value was only 31 cents. That means that the victims, who bought thousands of shares at or near $2.33, lost up to $2 a share when the dump occurred and continued. None of the claims were true about any of the companies involved. As happens in every pyramid scam, only the top investors win, at the expense of those who follow. Every pump and dump scam begins and ends the same way, with a few winners who conspired together and lots of losers who got suckered in.
You can avoid being scammed into investing in a pump and dump scheme if you take the time to look up the symbols and profiles of all of the companies mentioned in the message body text. You can read press releases and see what the companies are actually involved in. Most have no connection to the products being touted in the spam blasts and there are never any followup big announcements about a cure for cancer, or big acquisition that was supposedly coming in a couple of days. It's all snake oil folks!
Never trust anything like these topics that arrive in your email inboxes from complete strangers claiming they want to do you a favor by sharing this tremendous information that will double or triple you fortune in a few days or a week. Fool's Gold, sold by Carpet Baggers.
W.C. Fields one said: "Never give a sucker an even break, or smarten up a chump!" That's how pump and dump scammers work. But, I am here to smarten you up.
All of the QSMG scam emails were sent from infected computers that were part of a criminal botnet. I reported all of them to SpamCop. If you join SpamCop, you too can help the anti-spam cause by reporting email spam and scams. The sender's ISPs are notified, as are any web hosting companies involved in spam links. This at least gives their ISPs and web hosts a chance to notify their customers to disinfect the botted computers or websites, or even take them offline until they do so.
Lastly, if you use MailWasher Pro to filter your incoming email before downloading it to your email client, I have already updated my Pump and Dump Scam filters to delete these messages for you. My MailWasher Pro filters are here.
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