Colorado Couple Sues Emerson Equity & Two Brokers Over Versity Investments Losses. Our Delaware Statutory Trust Loss Law Firm Is Representing These Retirees
Shepherd Smith Edwards and Kantas (investorlawyers.com) is suing Emerson Equity on behalf of investors who suffered losses in Delaware Statutory Trusts (DSTs). The Claimants, two older Colorado retirees, are seeking up to $1,000,000 in damages.
They contend that Emerson Equity brokers Dominic Julio Baldini and Ryan David Finch unsuitably recommended Versity Investments (NKA) Crew Enterprises and Inspired Healthcare Capital (IHC) DSTs. Both financial advisors are Respondents in this investment loss recovery claim.
This couple entrusted a good portion of their life savings and retirement money to Emerson Equity. They allege that instead of receiving prudent investment advice from their brokers, they ended up being placed in Delaware Statutory Trusts that were illiquid and too risky for them, given their investment profile and lower risk tolerance level.
The investors allege that their Emerson Equity financial advisors misrepresented these Regulation D private placements as relatively safe and secure, and also, they failed to explain the multi-layer of fees they would have to pay. The Respondents made a lot of money off claimants, including from fee structures of up to 12.5%
In their Delaware Statutory Trust loss case, the retirees are claiming unsuitability, misrepresentations and omissions, breach of fiduciary duty, failure to supervise, breach of contract, Regulation Best Interest violations, negligence, fraud, and more.
Emerson Equity broker Dominic Julio Baldini, who has been in the brokerage industry for 26 years, is also a respondent in other Inspired Healthcare Capital loss lawsuits we have filed against this brokerage firm. IHC is an alternative asset firm that is primarily involved in senior housing. It remains under regulatory investigation by the US Securities and Exchange Commission (SEC) and has suspended investment offerings and investor redemptions.
Versity Investments Accused of Alleged $56M Fraud
Now called Crew Enterprises, Versity Investments, and its top executives, including founder and Emerson Equity broker Brian Nelson, are accused of operating a more than $56M investment scam in which investors’ money from its real estate offerings—Regulation D offerings and DSTs—was allegedly misappropriated.
The alternative asset firm manages student housing and multifamily properties near college campuses in almost a dozen US states. Versity Investment investors were supposed to earn money from rental income in exchange for purchasing indirect ownership in these professionally run properties. Instead, these Colorado Claimants and many other investors are looking at significant losses.
Why Are DST Investors Suing Emerson Equity?
Regardless of whether or not Emerson Equity was involved in any alleged investment fraud, it was this broker-dealer’s responsibility to conduct proper due diligence into Versity and Inspired Healthcare Capital while making sure they were safe for investors.
If you are an IHC investor or a Versity Investments investor, you may be considering suing the alternative asset firm for your losses in a class action lawsuit. However, know that the chances of any financial recovery by doing this are minimal.
What you can do, however, is explore your legal options and see if you have grounds for suing the broker-dealer that marketed and sold you the Reg D offerings.
Representing Delaware Statutory Trust Investors Against Broker-Dealers
Shepherd Smith Edwards and Kantas has been representing DST investors in recouping losses caused by negligent and reckless brokers for decades. We have the skills, resources, and knowledge to go up against the largest Wall Street firms, as well as handle the most complex kinds of investor lawsuits.
Contact Our IHC Fraud Attorneys and Versity Investments Loss Recovery Lawyers
To schedule your free initial case consultation, call (800) 259-9010 or fill out this online form.