Stamp dealers say thousands of people are being duped by crafty speculators manipulating stamp prices.
Overseas experts and local dealers say some speculators have turned philately into a $200,000-a-month occupation, partly by cashing in on the boom caused by interest in the handover.
But profits are made by only a few, as newcomers are being duped into buying stamps at inflated prices at stamp auctions that operate like the floor of a stock market.
Long-time dealer Yang Ming, owner of Yang's Stamp and Coin Company, said the Post Office had saturated the market by increasing issues sevenfold since last year.
Many newcomers were being caught out buying modern-issue stamps at inflated prices.
Profiteers operated at Mongkok Stamp Market, advertising through Chinese newspapers for buyers, he said.
