Wallingford, CT – July 6, 2010 – The B.P. Gulf of Mexico oil spill has created a new quagmire on land, this one in the form of several scams involving cleanup and relief efforts.
At least three different scams have been identified: “Job” offers, sale of stocks from companies supposedly related to the cleanup and organizations asking for donations that would go to cleanup and relief efforts.
Con artists are snagging consumers through Web sites, newspaper ads, phone calls, direct mail campaigns and more.
Legitimate job offer or fishing for personal information?Complaints to BBB detail a scheme in which consumers in Washington State were offered jobs paying $14 an hour with room and board, as well as transportation to Louisiana. 500 people who applied for the work complied with a request from the would-be employer to provide their names, addresses and Social Security Numbers. BBB and government authorities have been unable to determine if the offer is legitimately tied to British Petroleum. To date there is no indication that anyone who handed over a Social Security Number was contacted again by the “employer.”
BBB recommends:Before providing personal information to anyone when you did not initiate contact, confirm the company is legitimate. Also, beware of anyone who promises you a job and asks for an upfront fee or personal information. If you “slip” and give your personal information when you shouldn’t, be sure to contact your bank or credit union, credit card companies, and the three major credit bureaus – Equifax, Experian and TransUnion. Try to research with BP whether any recruiter is a legitimate clean-up employer. The vast majority of jobs will go to Gulf residents or industry specialists.
Is the investment offer based on accurate information?Financial industry regulators are warning investors about stock scams related to the oil spill.
One company in California was suspended by the Securities and Exchange Commission (SEC) in May for questionable claims that B.P. is looking at the business’s technology to help with the spill cleanup.
BBB recommends:Don’t be pressured to invest without proven facts. Though potential returns may seem attractive, potential financial risks are significant if a company inflates claims about its involvement in the cleanup and related technology.
Established charity, inexperienced organization or sham fundraiser?
It can be difficult to distinguish between organizations that will use the money to rescue wildlife or clean up beaches and marshlands contaminated by the spill, and other groups whose mission may not be as clear, or may involve, for example, pushing an energy-related political agenda. Still other charities, though well-intentioned, may lack the organizational skills required to handle donations and deliver aid where it is needed most.
Connecticut Better Business Bureau President, Paulette Scarpetti, says your money may be wasted unless you do your homework.
“The problems with oil spill donations are not limited to fake charities, but also groups that are not adequately equipped or do not limit the use of donations to relief efforts. This can also apply to organizations asking for volunteers.”
BBB recommends:Find out how organizations spend donors’ money. This can cover a wide range of activities, from ecosystem recovery and cleanup to economic relief, advocacy for new government energy policies and research into long term solutions for this and similar emergencies in the future. Ask if the agency limits the use of donated money to Gulf-related cleanup activities or intends to use funds to support all of its programs.
The following national charities’ Web sites describe activities that address the oil spill. This list only includes charities that meet the BBB Wise Giving Alliance’s Standards for Charity Accountability. Click see each one's BBB Wise Giving Report:
.
Founded in 1928, Connecticut BBB is an unbiased non-profit organization that sets and upholds high standards for fair and honest business behavior. BBB offers objective advice and a wide range of education on topics affecting marketplace trust. BBB also offers complaint and dispute resolution support for consumers and businesses. Today, 128 BBBs serve communities across the U.S. and Canada, evaluating and monitoring more than three million local and national businesses and charities. For more advice on finding companies and businesses, start your search with trust at www.bbb.org.Howard Schwartz, Communications Director, 203-269-2700, hschwartz@ct.bbb.org
