News
Scams and Other Confidence Tricks
Money For Nothing?
Let us begin by making a simple and well known fact clear; that there is no such thing as 'money for nothing' in racing. Every bet, every financial transaction contains an element of risk. We at UK Horse Racing understand that as do our readers.
Every one person who follows our selections or examines our rating undestands full well that there is an element of risk of losing one's capital. We are not perfect but we are one of the better organisations but we still cannot say that we can guarantee a profit.
No-one can.
So when something drops unsolicted on the doormat with the day's post offering you untold riches for no risk then please, please think carefully before sending your money away. If you do then you'll have encountered one of the only near certainties in racing; you'll never see it again.
There are a few common themes and two which we have reported are one where you are offered a stake in a racing fund or portfolio which will be invested for you. The other is where you are offered a risk-free commission where you place bets on behalf of a gambling syndicate.
It doesn't take too much thought to realise that implausabilities of either of these schemes. In the case of the money fund type management there must be a few dozen umpteen laws which are broken. Who are these people? Are they really 'In The Know' as they claim and they really making that much money? Even JP McManus has a side job in currency speculation to help fund his betting activities. And, more to the point where can one get in touch with them (and here a PO Box or an accomodation address ought to ring every alarm bell) and are they certified by the financial institutions as anyone has to be if they looking after your money?
And, guess what? They will have had a rotten run of luck and sooner or later their funds will have run out. Of course they won't have placed a single penny on a horse; they will keep the money aside until it's all 'gone' and then walk off into the sunset. Now, if the fund is doing rather well (which is not what they want) then what do they do? They prove how good they ar and, for a limited time only, will accept another few thousand pounds which will, of course, be run into the ground.
The second scam is mind-bogglingly simple and obvious but it's equally amazing that anyone actually falls for it. The first letter usually starts off by saying that they are a group of very successful bettors who can no longer get their bets on because every bookmaker in the land has closed their accounts. So, they have come to you asking that you put on bets for them and if the bet wins you keep a commission. It's as simple as that.
Now, in the modern day era of Betting Exchanges no-one should find it impossible to get a bet on. We have all seen how many tens of thousands are placed on each race each day so how come they can't get on? Simple, they have no money of their own and the only money that they will see will come from those who have fallen for the confidence trick.
Inevitably a number of people will fall for this one and will contact the crooks (always a mobile phone number) and they will be told to back a certain horse with so much money. Now, if twenty people all agree then what they have to do is to find a twenty runner race and give one horse to each person telling them to stick a few thousand pounds on it.
One of the people will have backed it and what will happen is that they will be invited to take off ten percent for himself and, in the meantime, a motor cycle courier will turn up outside and take off with the other ninety percent of the winnings. Now, what of those who placed a couple of thousand on the losing horses? Well, they will have been assured that a courier will be around to drop off the amount staked but, in the meantime, could they just stick another grand or so on this other horse...
As sure as night follows day that courier won't turn up and there will be lots of people who have lost a considerable sum of money and some very happy crooks who have taken a thousands of pounds without betting a single penny.
These are just two of the common tricks which people, in their greed, fall for. And they fall for it each and every time.
So, let's come up with a few simple rules:
- Never place a bet on behalf of someone else.
- Never join an investment service who are not registered with FIMBRA or similar. In fact, never give your money to someone else to invest on your own behalf.