Investor Lawyers Blog

Central American Retiree Suffers Six-Figure Loss After Truist Investment Services Unsuitably Recommends Northstar Financial Services (Bermuda)

Published on: September 27, 2021 | by Shepherd Smith Edwards & Kantas, LLP

FINRA Arbitration Hearing Will Take Place in Boca Raton, Florida

An elderly Venezuelan investor is seeking six figures in damages from Truist Investment Services (aka SunTrust Investment Services) over losses he suffered in Northstar Financial Services (Bermuda). The claimant contends that the firm overconcentrated his account by heavily investing his life savings in this off-shore entity, which is now undergoing liquidations proceedings after filing for bankruptcy.

This is one of a number of FINRA arbitration claims that our Northstar Financial Services (Bermuda) attorneys at Shepherd Smith Edwards and Kantas (SSEK Law Firm at investorlawyers.com) have filed against Truist Investment Services and other US-based brokerage firms for unsuitably marketing Northstar (Bermuda).

Elderly Chinese Retiree Files Six-Figure PB Investment Holdings Case Against Cetera Investment Services

Published on: September 24, 2021 | by Shepherd Smith Edwards & Kantas, LLP

Customer’s FINRA Arbitration Hearing Seeking Up to $500K Will Take Place in Los Angeles

Our broker fraud attorneys at Shepherd Smith Edwards and Kantas (SSEK Law Firm at investorlawyers.com) have filed a FINRA arbitration claim against Cetera Investment Services. A very elderly Chinese widow who entrusted the firm to keep her money safe suffered considerable losses in PB Investment Holdings.

The claimant, who is from Shanghai, is requesting up to $500K in damages for the losses she sustained in PB Investment Holdings (formerly Beechwood), a now failed off-shore entity owned by imprisoned billionaire Greg Lindberg.

Ex-Oppenheimer Broker John Woods Accused of Running $110M Horizon Private Equity III Ponzi Scam

Published on: September 23, 2021 | by Shepherd Smith Edwards & Kantas, LLP

Former Georgia Financial Advisor Allegedly Ran Ponzi Scheme Through Southport Capital

On August 20, 2021, the Securities and Exchange Commission (SEC) filed an emergency action seeking to stop a $110 million Ponzi scheme allegedly operated by ex-Oppenheimer stockbroker, John Justin Woods.

The fraud, involving Horizon Private Equity III, LLC was run through Woods’ registered investment advisor Livingston Group Asset Management Company, (doing business as Southport Capital). On August 24, 2021, the United States District Court for the Northern District of Georgia issued a temporary restraining order and asset freeze against Woods and Horizon.

Ex-Voya Financial Advisors Broker Ronnie Metcalf Faces Over $6.5M in Current Customer Disputes

Published on: September 21, 2021 | by Shepherd Smith Edwards & Kantas, LLP

South Carolina Financial Advisor Named in Five Pending Customer Disputes

Cetera Advisors Network registered representative, Ronald Franklin Metcalf, Jr, is named in five pending customer disputes in which the claimants are seeking more than $6.5M in financial recovery.

All of them accuse Metcalf of failing to supervise other registered representatives while he was a Voya Financial Advisors broker. Two of those Financial Industry Regulatory Authority (FINRA) arbitration cases resulted in huge settlements, including one for $3.5M.

Former CFD Investments Broker Dana Vietor Facing Over $3M in Customer Complaints

Published on: September 20, 2021 | by Shepherd Smith Edwards & Kantas, LLP

Financial Independence President & Ex-Dallas, Texas Financial Advisor Was Barred by FINRA

Dana Bruce Vietor, a former CFD Investment Services registered representative is under scrutiny following multiple allegations of broker misconduct that have led to customer losses. The latest still pending claims were brought by investors seeking to collectively recover more than $3M in damages.

According to his LinkedIn, Vietor is the President of Financial Independence Corp. in Dallas, Texas. He also is a manager of SRS Management, LLC.

American Trust Investment Services Broker Austin Dutton Named in 26 Investor Disputes

Published on: September 17, 2021 | by Shepherd Smith Edwards & Kantas, LLP

Pennsylvania Financial Advisor is Accused of Making Unsuitable Recommendations

Austin Richard Dutton, Jr., an American Trust Investment Services stockbroker, is currently the subject of a Financial Industry Regulatory Authority (FINRA) arbitration case. The self-regulatory organization (SRO) has made a preliminary determination to recommend disciplinary action against him. The Doylestown, PA financial advisor is accused of violating FINRA Rules 2111, 2010, and 4511.

FINRA announced its preliminary determination involving Dutton in March 2021. FINRA Rule 2111 has to do with suitability and requires broker-dealers and their registered representatives to only make recommendations that are suitable for each customer. Rule 2010 mandates that members abide by high standards of commercial honor and fair and equitable principles of trade. Rule 4511 requires FINRA members to make records and books and preserve them for at least six years.

GPB Capital Sells Prime Automotive Group Dealerships for $880M

Published on: September 16, 2021 | by Shepherd Smith Edwards & Kantas, LLP

GPB Sells Remaining Prime Automotive Group Dealerships to Group 1 Automotive

According to a regulatory filing submitted on September 13th, 2021, the private equity firm is selling all of its Prime Automotive car dealerships to Group 1 Automotive Inc. for $880M. The sale includes GPB Automotive Portfolio’s remaining 30 stores and three collision repair shops.

GPB Auto is one of the alternative asset firm’s largest funds, and it has been selling car dealerships since at least 2018 when it owned 52 of them. It is one of the largest GPB funds and has reported huge losses.

Customers Accuse Fired Ameriprise Broker Ted Cadwallader of Making Unsuitable Investment Recommendations

Published on: September 14, 2021 | by Shepherd Smith Edwards & Kantas, LLP

Ex-New York Financial Advisor Was Barred by FINRA in 2014

Nearly seven years after he was barred by the Financial Industry Regulatory Authority and fired by Ameriprise Financial Services, ex-New York broker Ted Wayne Cadwallader continues to be accused of making unsuitable investment recommendations that caused them significant losses.

Shepherd Smith Edwards and Kantas (SSEK Law Firm at investorlawyers.com) is investigating these claims. If you suffered losses while working with ex-stockbroker Ted Cadwallader, contact SSEK Law Firm today at (800) 259-9010. You can also speak with our New York unsuitability investment attorneys at (716) 261-3529.

Representatives To Be Appointed For Each Investor Class in Northstar Financial Services (Bermuda) Liquidation Proceedings

Published on: September 10, 2021 | by Shepherd Smith Edwards & Kantas, LLP

Similar Determination Made in Wind Up Proceedings for Old Mutual (Bermuda)

Bermuda’s Chief Justice Narinder Hargun and Joint Provisional Liquidators (JPLs) are in agreement that representatives will be appointed for every creditor class in the liquidation proceedings for both Northstar Financial Services (Bermuda), Ltd. and Omnia, Ltd., which was formerly Old Mutual (Bermuda).

The Supreme Court of Bermuda also provided direction to the JPLs, after the latter determined that issues related to the assessment of asset segregation among the different kinds of investors could impact how much they all stood to recover.

Sin Respuestas De La Corte En Cuanto al Reembolso de Activos – Representantes de Cada Clase de Inversionistas Serán Nombrados En Los Procedimientos de Liquidación de Northstar Financial Services (Islas Bermudas)

Published on: September 9, 2021 | by Shepherd Smith Edwards & Kantas, LLP

Determinación Similar Hecha en Procedimientos de Liquidación de Old Mutual (Islas Bermudas)

El juez presidente de Islas Bermudas, Narinder Hargun y los Liquidadores Provisionales Conjuntos (LPCs) están de acuerdo en que sean nombrados representantes para toda clase de acreedores en los procedimientos de liquidación tanto para Northstar Financial Services (Bermuda) Ltd. como para Omnia, Ltd. La Corte Suprema de Islas Bermudas también proveyó dirección a los LPCs, luego que estos últimos determinaran que asuntos relacionados con la evaluación de la segregación de activos entre diferentes tipos de inversionistas podían impactar cuánto podrían recuperar todos ellos. Los inversionistas han estado esperando por esta notificación de septiembre para obtener respuestas en cuanto a qué, si algo, pudiera recuperarse. Claramente, no hay respuestas, y la próxima vista no puede celebrase hasta después del 21 de octubre, pero con toda probabilidad no se celebrará hasta el año próximo.

Northstar Financial Services (Bermuda) y Old Mutual (Bermuda) fueron adquiridas por Global Bankers Insurance Group, la cual es propiedad de Greg Lindberg. Este billonario americano está cumpliendo más de siete años en prisión por conspiración para cometer fraude electrónico en servicios honestos y soborno. Mientras tanto, los inversionistas de ambas entidades de las Islas Bermudas están actualmente luchando para recuperar sus pérdidas.