U.S. consumers warned of false SIPC checks

WASHINGTON, D.C. (BNO NEWS) – The Securities Investor Protection Corporation (SIPC) warned Thursday that consumers should not accept SIPC checks that are presented online or in person by con artists seeking to buy personal goods.

SIPC maintains a special reserve fund mandated by Congress to protect the customers of insolvent brokerage firms, but officials said fake checks are being reported that include an actual SIPC account number that is used only for deposits. No checks of any kind are issued on the account in question.

One or more individuals have presented the phony SIPC checks to "purchase" an item on Craigslist or in face-to-face transactions in over a half dozen cases so far.

In some cases, the bad check passer or passers are trying to purchase items for less than the face value of the phony check and then asking for the balance in return, or for the balance to be forwarded to a third party.

“I want to be very clear that SIPC does not issue checks of this kind,” SIPC President Stephen Harbeck said. “As such, the public should not accept SIPC checks from any person purporting to buy goods for their personal use.”

SIPC was alerted to the scheme by consumers who were suspicious of the checks and did not proceed, but at least one person has been victimized so far.

The matter has been referred by SIPC to the proper authorities for investigation.

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