Horizon Private Equity Ponzi Fraud Lawyers Helping Investors  

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What Should You Do If You Suffered Losses in This Alleged $110M Investment Fraud?

More than 400 investors have suffered losses in the alleged Horizon Private Equity Ponzi Scam involving ex-Oppenheimer & Co. broker John Woods. A few months ago, a Financial Industry Regulatory Authority panel ordered the broker-dealer to pay a number of investors $36.7M for allegedly failing to properly supervise Woods and for other, purported related broker-dealer negligence.

Meanwhile, Shepherd Smith Edwards and Kantas (investorlawyers.com) are continuing to investigate Oppenheimer and Woods on behalf of investors seeking to determine whether they have grounds for a FINRA arbitration claim to pursue their own damages. If you are one of these investors, contact our skilled investment loss lawyers today.

What Is The Horizon Private Equity Ponzi Scam?

This investor fraud was purportedly run by Woods, who also founded Livingston Group Asset Management Company (d/b/a Southport Capital), over a 10-year period. The ex-Atlanta financial advisor allegedly solicited more than $110M from hundreds of investors in what he called the Horizon Private Equity III Fund. He is said to have promised them a “guaranteed” six- to seven-percent return over two-to-three years. Many of his alleged victims were elderly investors and retirees.

However, rather than making money for them, Woods allegedly used newer investors’ money to pay earlier investors their “supposed” returns. In August 2021, the US Securities and Exchange Commission (SEC) filed a civil lawsuit against Woods and his Livingston Group Asset Management Company for running this alleged Ponzi scam. Other defendants in the civil lawsuit include ex-Oppenheimer financial advisors Michael Mooney and Arthur Brown.

The SEC also accused Oppenheimer of failing to properly supervise Woods. According to John Justin Wood’s CRD on BrokerCheck, he has 35 disclosures on record. This includes over two dozen FINRA arbitration claims that remain pending.

What Is A Ponzi Fraud?

This investment fraud typically involves existing investors getting paid “returns” using the money of newer investors. Ponzi scammers will typically promise huge returns with little to no risk. Usually, in a Ponzi fraud, investors’ money is not actually invested and is often misappropriated. Because there are little to no earnings, a Ponzi scam needs a constant infusion of investor funds to survive. When too many existing investors decide to cash out at the same time or it becomes more difficult to bring in new investors, that is when these investment scams tend to fail.

Warning Signs of a Possible Ponzi Scam:

  • The promise of little-to-no risk along with high returns.
  • Returns that are too consistent.
  • The sellers of the investment product are unlicensed.
  • The investments are unregistered.
  • The investing strategy involved is too obscure or hard to understand.
  • Errors in your account statements.
  • Cashing out or getting paid is challenging.

How Can Our Savvy Ponzi Fraud Lawyers Help You? 

For over 30 years, Shepherd Smith Edwards and Kantas have represented investors in recouping their losses caused by broker-dealer negligence and stockbroker misconduct. While Oppenheimer does not appear to have been involved in or aware of John Woods’ alleged broker misconduct while it was happening, this brokerage firm should not be exempt from liability.

A number of Horizon Private Equity investors have gone on to join a class action securities fraud lawsuit. However, our skilled brokerage firm arbitration lawyers have found that if you want to maximize your chances for a full financial recovery, you may want to consider filing your own, individual Financial Industry Regulatory Authority (FINRA) lawsuit against Oppenheimer. (Often, with class action litigation, it is the plaintiffs’ lawyers who end up making most of the money. . Meanwhile, investors, on average, receive 2-to-3 pennies on each dollar lost.)

Going up against a large brokerage firm can be tough and they will have their own legal team fighting for them. This is why you want to experience Ponzi Fraud Lawyers that are knowledgeable in the arbitration process representing you.

But first, we need to help you determine whether you have grounds for a securities fraud lawsuit. To schedule your free, no-obligation case consultation over your Horizon Private Equity investor losses, call (800) 259-9010 today.



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