What is a Boiler Room Operation? A boiler room operation is an investment fraud involving high-pressure sales tactics to convince victims to invest in worthless or non-existent securities. These operations are typically conducted in call centers, where telemarketers make unsolicited calls to sell themselves penny stocks to potential investors. The term "boiler room" comes from these call centers' cramped and noisy working conditions; many boiler rooms resemble the steam-filled boiler...