Investor Lawyers Blog

Texas Retiree Files GPB Capital Fraud Claim Against Calton & Associates

Published on: December 15, 2020 | by Shepherd Smith Edwards & Kantas, LLP

Senior Investor Seeks up to $500K in Damages For Loss of Savings

A retiree from Texas has filed a Financial Industry Regulatory Authority (FINRA) arbitration claim against brokerage firm Calton & Associates over losses he suffered in GPB Capital Holdings private placements and other non-publicly traded products. This investor is seeking up to $500K in damages. Arbitrators in Dallas, Texas will hear his case.

At Shepherd Smith Edwards and Kantas (SSEK Law Firm at investorlawyers.com), our Dallas securities fraud attorneys are representing this claimant in his fight to recover his losses.

Municipalities’ Inability to Pay Bond Interest Places Investors in a Precarious Position

Published on: December 14, 2020 | by Shepherd Smith Edwards & Kantas, LLP

Seeking Greater Yield and Safety, Muni Bond Customers Encounter Defaults

Despite the fact that the coronavirus has taken a toll on city and state finances, this isn’t stopping investors from buying municipal debt in a bid for greater yield and more safety than the markets can provide at this time. Unfortunately, because many municipalities don’t have the money to pay interest on the bonds, these muni bonds are defaulting. This is bad news for investors.

If you suffered losses from the municipal bonds that your broker recommended to you, you may have grounds for an investor claim to recover your losses. Shepherd Smith Edwards and Kantas (SSEK Law Firm at investorlawyers.com) represents municipal bond fraud investors nationwide. We can help you explore your legal options.

Spirit of America Energy Investors May Have Grounds for Unsuitability Claims Against David Lerner Associates

Published on: December 8, 2020 | by Shepherd Smith Edwards & Kantas, LLP

Proprietary, Non-Traded Oil, Gas and Energy Investments Plunged In Value

If your David Lerner Associates broker recommended and sold you any of the firm’s proprietary non-traded oil and gas investments and you sustained significant losses, you may have grounds for an investor fraud claim for damages.

The privately-held broker-dealer exclusively sold investments and mutual funds to customers in its Spirit of America Energy Fund (NASDAQ: SOAEX), as well as its Energy 11 LP and Energy Resources 12 LP.

Coastal Equities To Pay $280K To Elderly and Retiree Clients Over Allegedly Unsuitable Trades

Published on: December 7, 2020 | by Shepherd Smith Edwards & Kantas, LLP

Coastal Equities Has Been The Subject of $3M in Investor Arbitration Claims

Coastal Equities, a mid-sized broker-dealer, recently arrived at a settlement with the Financial Industry Regulatory Authority (FINRA) in which it agreed to give $280K in restitution to several customers. The firm is accused of failing to reasonably supervise one of its registered representatives, who recommended trades that were allegedly excessive and unsuitable. Those who were harmed were retirees and senior investors.

It was just last year that Coastal Equities said in its filing with the US Securities and Exchange Commission (SEC) that investors had submitted $3M in arbitration claims against the firm.

Texas Wells Fargo Broker Kurt Gunter Is Sanctioned Over Allegedly Unsuitable UIT Sales

Published on: December 4, 2020 | by Shepherd Smith Edwards & Kantas, LLP

FINRA Suspends Texas Broker For Three Months

Kurt Jason Gunter, a Wells Fargo Clearing Services (WRET) registered representative in Bee Cave, Texas, was recently sanctioned by the Financial Industry Regulatory Authority (FINRA).

The self-regulatory organization (SRO) contends that he allegedly made unsuitable unit investment trust (UIT) sales to customers. In addition to having to pay a $10K civil fine, Gunter is suspended for three months beginning December 20, 2020. The broker, who is also a registered Wells Fargo investment adviser, consented to the sanctions but is not denying or admitting to the findings.

OCC Orders JPMorgan Chase Bank to Pay $250M For Inadequate Risk Management Practices

Published on: December 3, 2020 | by Shepherd Smith Edwards & Kantas, LLP

Office of the Comptroller of the Currency Accuses Bank of Inadequate Internal Controls

JPMorgan Chase Bank has been ordered to pay a $250M penalty. The Office of the Comptroller of the Currency (OCC) contends that the bank engaged in “unsafe and unsound practices” related to its internal controls and an internal audit of fiduciary duties.

With fiduciary assets of $29.1 trillion, JPMorgan has one of the biggest and complex fiduciary businesses. It offers many types of investment strategies via different investment vehicles to its clients. The Bank is not denying or admitting to the agency’s findings.

Brokers May Have Unsuitably Recommended ARC NYC REIT To Retail Investors

Published on: December 2, 2020 | by Shepherd Smith Edwards & Kantas, LLP

After American Realty Capital New York City Real Estate Investment Trust Went Public, Share Price Plunged

If you are a retail investor whose broker recommended that you invest in American Realty Capital (ARC) New York City Real Estate Investment Trust (REIT), you may have grounds for an unsuitable investment recommendation claim.

ARC NYC REIT is a risky, speculative investment and definitely shouldn’t have been marketed to inexperienced investors, conservative investors, seniors, or retirees. Although initially a non-traded real estate investment trust (non-traded REIT), and also an illiquid investment, ARC NYC REIT went public on the New York Stock Exchange (NYSE) in August.

Fired Morgan Stanley Brokers May Have Grounds for Wrongful Termination Claims

Published on: December 1, 2020 | by Shepherd Smith Edwards & Kantas, LLP

Morgan Stanley Fires Financial Advisors After Inherited Account Credits Investigation

Morgan Stanley (MS) announced recently that it has terminated a number of financial advisors after a months-long investigation into payments being made to retired Morgan Stanley financial advisors under Morgan Stanley’s own Legacy Account Payments Program.

Morgan Stanley’s “sunset plan” allows brokers who are retiring from the firm to split fees and commissions with brokers who inherit the retiring broker’s accounts.

New York Yankees’ Aroldis Chapman Files $3M Investment Fraud Claim Against Pro Management Resources

Published on: November 30, 2020 | by Shepherd Smith Edwards & Kantas, LLP

Florida-Based Financial Management Company Employee Allegedly Stole Money

Albertín Aroldis Chapman de la Cruz, the star relief pitcher for the New York Yankees, has filed an investment fraud lawsuit against Pro Management Resources and several individuals. The financial management and tax planning company reportedly has also been serving as Chapman’s business manager for almost a decade. Now, the MLB pitcher is accusing the company of stealing $3M.

Shepherd Smith Edwards and Kantas (SSEK Law Firm at investorlawyers.com) represent investors in Florida that have suffered investment losses due to broker and financial fraud or negligence. Contact us at (813) 560-2992 or by using our online contact form so that we can help you explore your legal options.

Frontier Communications to Sell $2.8B of Junk Bonds as Part of Bankruptcy Exit

Published on: November 27, 2020 | by Shepherd Smith Edwards & Kantas, LLP

Investors Who Were Sold Telecommunication Company’s Bonds Grapple with Losses

In its second sale in two months, Frontier Communications Corp. wants to sell $2.8B in junk bonds to help pay for its exit from bankruptcy.

According to sources that spoke with Bloomberg, this includes new $1.8B first-lien bonds at an about 5.25% yield and another $1B of second-lien notes at a 7 – 7.25% yield. The new bonds, along with an increase to an existing term loan, are meant to allow Frontier to pay back debt it owes that will mature in 2024 and 2026.