Frauds are not restricted to the invested companies

As published today in Valor, CVM fined brokers for irregularities (google translated):

In the case of Umuarama, punishment refers to four groups for the purchase and salethe same day (day-trade ") made ​​in 2004 by a company, UVTC SA, an operator of thebrokerage, the son of a of members of UVTC and mother of an operator of the brokerage. In all cases, the success rate of investors was above 90% and the result was a gross profit of BRL734 million.
The gains in a short period of time at high volumes and at better prices than those obtained by other customers pointed out to the CVM, which found that business was notinitially registered principal (client) or as the brokerage house portfolio, and thenchanged to the names of those investigated. In one phase of operations, the record wasmade ​​only after they knew the outcome of the operation. The Umuarama replied thatthere were cases where the client was identified and that not all operations were positive, but the CVM decided to retain the fine.