Merrill Lynch Settles for $39M Class Action Lawsuit Alleging It Didn’t Pay Enough Interest to Clients With Cash in Retirement Accounts

Published on: November 2, 2026 | by Shepherd Smith Edwards & Kantas, LLP

Our Broker Fraud Lawyers at Shepherd Smith Edwards and Kantas Are Continuing To Investigate

Following a $39 million class action settlement where Merrill Lynch was accused of paying near-zero interest on retirement cash accounts, our Broker Fraud Lawyers at Shepherd Smith Edwards and Kantas are continuing to investigate affected investors. These securities attorneys help clients evaluate whether to remain part of a class action or pursue individual FINRA arbitration to maximize their recovery for mismanaged cash sweep programs.

In a class action settlement, Merrill Lynch agreed to pay $39M over allegations that it didn’t pay enough interest to brokerage clients holding cash. Instead, contend the plaintiffs, the brokerage firm paid close-to-zero interest rates rather than market rates on the cash in their retirement accounts.

Elderly Investor Sues Charles Schwab For Up To $5,000,000 After Hackers Steal Her Money

Published on: October 1, 2026 | by Shepherd Smith Edwards & Kantas, LLP

Shepherd Smith Edwards and Kantas Is Representing This Claimant

A nonagenarian investor represented by Shepherd Smith Edwards and Kantas has filed a FINRA arbitration claim seeking up to $5 million from Charles Schwab after hackers stole her seven-figure retirement savings. Despite the firm’s written security guarantee, Schwab has refused to compensate her, blaming her for falling for the scam and prompting the lawsuit alleging negligence and breach of fiduciary duty.

A nonagenarian widow has filed a FINRA arbitration claim against Charles Schwab & Co. after her account at the brokerage firm was infiltrated by hackers. She is seeking up to $5M in damages now that the theft has left her almost penniless. Shepherd Smith Edwards and Kantas (investorlawyers.com) is representing this elderly investor.

Why Should Velocis Fund III Investors Explore Their Legal Options?

Published on: September 27, 2026 | by Shepherd Smith Edwards & Kantas, LLP

Our Broker Negligence Lawyers Are Here To Help

Velocis Fund III investors who suffered significant losses may have grounds for FINRA arbitration against brokerage firms that misrepresented the fund as a safe, liquid investment. The law firm Shepherd Smith Edwards and Kantas offers free case evaluations to help retail investors and retirees recover damages caused by potential broker negligence or overconcentration.

If you are someone whose broker-dealer recommended that you invest in the Velocis Fund III, you may want to explore your legal options. This vintage real estate value-added fund, which has commercial real estate assets in the US Southwest and Southeast, is a high-risk investment.

Colorado Family Sues KCD Financial and Broker Daniel Rust Over Closed-End Fund Losses

Published on: September 2, 2026 | by Shepherd Smith Edwards & Kantas, LLP

Claimants Are Pursuing Up to $500K in Damage Involving Priority Income Fund, Bluerock Private Real Estate Fund, and TrueLife Companies Elite Fund II

Shepherd Smith Edwards and Kantas is representing a Colorado family in a FINRA arbitration claim seeking up to $500,000 against KCD Financial and broker Daniel Rust. The lawsuit alleges that the firm and broker unsuitably recommended speculative and highly illiquid alternative investments, resulting in significant six-figure losses for the investors’ retirement and family savings.

Shepherd Smith Edwards and Kantas Broker Misconduct Lawyers (investorlawyers.com) are representing a Colorado couple and their elderly father in their FINRA arbitration claim against KCD Financial and Broker Daniel Rust. The Claimants contend that the broker-dealer and its registered representative unsuitably recommended risky alternative investments, including Priority Income Fund and Bluerock Private Real Estate Fund (BPRE) , as well as private placement real estate fund TrueLife Companies Elite Fund II.

Priority Income Fund Investors May Be Looking At An 80% Loss

Published on: August 27, 2026 | by Shepherd Smith Edwards & Kantas, LLP

Contact Our Closed-End Fund Loss Recovery Attorneys Today

Priority Income Fund has reportedly lost nearly 80% of its original value due to defaults and distressed exchanges in its high-risk collateralized loan obligation (CLO) holdings. In response to heavy investor losses, the law firm Shepherd Smith Edwards and Kantas is offering free case assessments to help retail investors pursue recovery claims against brokers who unsuitably recommended or misrepresented the fund.

Shepherd Smith Edwards and Kantas (investorlawyers.com) is offering free assessment to investors who suffered losses in Priority Income Fund. This closed-end fund is a risky private investment that should never have been sold to retail investors. Now, it has reportedly lost 79-80% of its original value. Its initial offering price was $15.00, with its current value as of July 31, 2026 at $3.15. A July 2026 tender led to heavy oversubscription. This offer prorated repurchases to around 15.23% of the shares requested.

Did Ex-Morgan Stanley Broker Theodore Byrer Ignore Your Best Interests When By Recommending an Unsuitable Trading Strategy?

Published on: August 22, 2026 | by Shepherd Smith Edwards & Kantas, LLP

Our Stockbroker Fraud Lawyers Are Investigating Claims Of Losses By His Former Customers Involving Options Trading, Unauthorized Trading, and More

The law firm Shepherd Smith Edwards and Kantas broker misconduct lawyer group is investigating investor loss claims against former Morgan Stanley broker Theodore Byrer, who was suspended by FINRA for unauthorized trading and unsuitably recommending risky options trading strategies to unsophisticated clients. Affected investors who suffered financial losses due to Byrer’s alleged misconduct are encouraged to seek a free consultation to explore potential recovery options through legal action against his former brokerage firm.

Shepherd Smith Edwards and Kantas broker misconduct lawyer team (investorlawyers.com) are speaking to investors who suffered losses while working with now suspended former financial advisor Theodore William Byrer. Morgan Stanley fired him in 2023 following allegations of unauthorized trading in customer accounts. Byrer went on to become an International Assets Advisory broker until 2024.

Are You An Investor Who Suffered Losses While Using Online Brokerage Platform Tastytrade

Published on: August 10, 2026 | by Shepherd Smith Edwards & Kantas, LLP

Our Broker Misconduct Lawyers Are Investigating

Following FINRA fines against Tastytrade for unreported customer complaints and best-execution violations, broker misconduct lawyers at Shepherd Smith Edwards and Kantas are investigating investor losses tied to the platform. The firm is helping affected clients evaluate legal options, including potential FINRA arbitration claims over supervisory failures and unauthorized third-party account breaches.

If you are retail investor who suffered significant losses on tastytrade, Shepherd Smith Edwards and Kantas (investorlawyers.com) wants to talk to you. This online brokerage platform is for self-directed investors and has a focus on futures trading and options. It recently came under scrutiny by the Financial Industry Regulatory Authority (FINRA) and our own securities fraud law firm.

Brokers Under Scrutiny For Selling Phoenix American Hospitality REITs

Published on: August 10, 2026 | by Shepherd Smith Edwards & Kantas, LLP

Questions of Stockbroker Misconduct After SEC Hotel Investment Fund Manager Raises $86M From 2000 Investors

Dallas-based Phoenix American Hospitality and president William Lee “Perch” Nelson were charged by the SEC with fraudulently raising $86M from 2,000 investors through misleading Regulation A REIT claims. Affected investors can work with a qualified Broker Fraud Attorney to pursue FINRA arbitration against financial advisors who unsuitably recommended or misrepresented these risky real estate investments.

Shepherd Smith Edwards and Kantas Broker Fraud Attorney teams (investorlawyers.com) are looking into claims of investor losses involving Phoenix American Hospitality. The Dallas-based hotel investment fund manager and its president William Lee “Perch” Nelson are accused of fraud by the US Securities and Exchange Commission (SEC) related to two Regulation A investment funds: American Hospitality Properties REIT I and REIT II.

For Velocis Fund III Investors, Suing Your Broker May Be The Way To Recoup Your Losses

Published on: July 21, 2026 | by Shepherd Smith Edwards & Kantas, LLP

Our Investment Loss Recovery Law Firm Wants To Talk To You

Shepherd Smith Edwards and Kantas is investigating brokerage firms, including RBC Capital, for unsuitably recommending Velocis Fund III—a speculative, illiquid commercial real estate private equity fund—to retail investors and retirees. Because market headwinds and high interest rates have heavily impacted the fund’s assets, affected investors are being encouraged to explore legal recovery options against the broker-dealers who failed to perform proper due diligence or adequately disclose risks.

Once again, Shepherd Smith Edwards and Kantas Broker Negligence Attorneys (investorlawyers.com) are putting out a call to investors who suffered losses in Velocis Fund III. This is a speculative investment that should not have been sold to retail customers, inexperienced investors, and retirees. Unfortunately, there are brokers that have done exactly that, unsuitably recommending this high-risk real estate investment fund to clients.

Are You An Investor Who Suffered Investment Losses in the First Liberty Building & Loan Ponzi Scam?

Published on: July 21, 2026 | by Shepherd Smith Edwards & Kantas, LLP

Our Broker Misconduct Attorneys Can Explore Your Legal Options With You

The Securities and Exchange Commission (SEC) and federal prosecutors charged First Liberty Building & Loan owner Edwin Brant Frost IV with operating a $140 million Ponzi scheme that targeted hundreds of retail investors with promises of high-return, low-risk loans. Law firm Shepherd Smith Edwards and Kantas is actively investigating financial firms and brokers who sold these investments without proper supervision, helping victims explore legal options like FINRA arbitration to recover their losses.

Shepherd Smith Edwards and Kantas Broker Misconduct Attorneys (investorlawyers.com) are investigating claims of losses related to First Liberty Building & Loan. Last year, the US Securities and Exchange Commission (SEC) filed charges accusing the Georgia-based lender and owner Edwin Brant Frost IV of running a $140M Ponzi scam.