FSMA Issues Scam Alert Against Unauthorized Boiler Rooms North Star Management Japan and Part Capital

The Financial Services and Markets Authority (FSMA) of Belgium has issued a public warning against several entities conducting unauthorized financial services within the Belgian market. According to the regulator, the flagged operations are suspected of running boiler room fraud schemes targeting retail investors. The unauthorized entities specifically named by the FSMA are: - North Star Management Japan, operating via northstarjp.com - Part Capital, operating via partcapital.com Neither of these entities holds the requisite license or regulatory authorization to offer investment products or financial services in Belgium. The FSMA strongly advises investors not to respond to any solicitations from these companies and to avoid transferring funds to any accounts associated with them. Boiler room fraud involves fraudulent operators contacting individuals without prior consent, typically via unsolicited phone calls or emails. These entities pitch fictitious or worthless financial products, ranging from equities and term deposit accounts to managed portfolios, investment advisory services, and crowdfunding opportunities. While presenting polished websites and official-looking paperwork to appear legitimate, their primary objective is to defraud investors. In typical boiler room schemes, victims are initially persuaded to make a modest investment that quickly appears to generate substantial profits on paper. The fraudsters then apply aggressive pressure to extract larger deposits. When victims request a withdrawal, the operators demand additional payments, taxes, or fees, or report sudden catastrophic losses, preventing investors from ever recovering their funds. To safeguard against investment scams, the FSMA recommends verifying the regulatory authorization of any financial provider before engaging in transactions. Investors should remain suspicious of cold calls, unrealistic return guarantees, pressure tactics, and requests to wire money to foreign jurisdictions with no obvious connection to the firm. Suspected fraudulent activities can be verified through regulator warning lists or reported directly to the FSMA.