Forum Archive Index - April 2000

[Sarah Corkill <Sarah.Corkill@directbroking.co.nz>]

Dear Nick,

 

All brokers who are member's of the NZSE are required to "know your client".  Whomever removed your dividend details etc from your mail box shouldn't be able to sell these shares through a member of the NZSE because he/or she cant prove that he is you!

 

Unless the thief filled in an off market transfer form and transferred the shares into their own name then he wouldn't be able to sell them.  This is still theft and the registry can track to whom the shares were transferred.  My advice would be to let the registry know that this has happened by speaking to someone and then confirming the conversation in writing.

 

If you have any problems or more questions please let me know.

 

Kind regards,

 

Sarah Corkill
Direct Broking

-----Original Message-----
From: nick [mailto:acummin@es.co.nz]
Sent: Sunday, 2 April 2000 21:47
To: sharechat@sharechat.co.nz
Subject: [sharechat] How safe are shares (as in fraud)

      I was wondering what safeguards are in place against fraud.

 I have had mail stolen from my letter box including dividend statements

on which are written my shareholder number and my bank account number that the divs

were paid into. Also my ird number and number of shares held etc.

       How easy would it be for someone to take advantage of this information and

sell my shares?  I can imagine a scenario where the person pretends to be me

opens up a bank account in my name using something stolen from my letterbox

as id, then opens a brokerage account in my name. Then proceeds to sell my shares.

      If the brokerage firm asked for a fin number the fraudster would just say they lost it

and the registry would tell them.  Next thing i find i suddenly have no shares.

             What i would like to know is in the event of this kind of thing happening

is there anyway the victim would be able to gain reconpence?

         nick