CBC News - British Columbia - B.C. regulators warn of pension scam

CBC News - British Columbia - B.C. regulators warn of pension scam

Canada is rife with frauds and scams. Lack of a comprehensive regulatory system allows fraudsters to operate beyond regulation, and government failure to come down hard on white collar crime encourages fraudsters to prey on unsuspecting Canadians.

Pension scams are not new, but the B.C. warning for investors is timely. You can not make withdrawals from registered plans without incurring tax obligations. The schemes offered are used to get your money. The money is lost, but the victim also has to pay tax on the lost money. All withdrawals from registered plans are taxable.

Look before you leap. Don't fall for these scams. Check with your provincial regulator before you make any investments. Make sure the individual and the firm he respresents are registered with the regulators. If they are not report them to regulators and police.