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Cambridge Investment Research Under Scrutiny For Alleged ICap Investment Sales. Our Private Placement Loss Attorneys Are Continuing To Investigate Investor Losses
Brokerage firms are supposed to look out for their clients’ best interests. This includes conducting the proper due diligence into any investment that they market and sell to investors and only recommending a security, trade, or financial product if it is suitable for a customer given their investing profile, financial goals, risk tolerance level, and other key factors.
Unfortunately, a slew of brokerage firms allegedly engaged in misconduct or negligence when they promoted iCap securities to clients. Shepherd Smith Edwards and Kantas (investorlawyers.com) is investigating these broker-dealers, including Cambridge Investment Research, over growing concerns of liability for investor losses.
Some 1800 investors were reportedly sold an iCap investment issued by iCap Enterprises, which raised about $245M from them with the help of brokerage firms like Cambridge Investment Research. In return, broker-dealers earned high commissions of up to 10% and other fees from the sales. A number of iCap investors were Chinese nationals in the US who were hoping they would get green cards under the US-EB-5 Immigrant Investor Program.
The iCap investments that were sold:
- iCapBroadway
- iCap
- iCapCampbell Way
- iCapEquity
- iCapFunding
- iCapHolding
- iCapHolding 5
- iCapHolding 6
- iCapInvestments
- iCapManagement
- iCapPacific Development
- iCapPacific Income 4 Fund
- iCapPacific Income 5 Fund
- iCapNorthwest Opportunity Fund
- iCapPacific Northwest Opportunity and Income Fund
- iCapPacific NW Management
- iCapRealty
- iCapVault
- iCapVault1
- iCapVault Management
- Senza Kenmore
- UW 17thAVE
- Vault Holding1
- VH 1121
- VH 2ndStreet Office
- VH Pioneer Village
- VH Senior Care
- VH Willows Townhomes
- VH Vault Holding
- 725 Broadway
In 2023, dividend payments were suspended. A few months ago, iCap filed for Chapter 11 bankruptcy protection.
The Importance of Hiring Skilled Reg D Private Placement Lawyers
ICap investments, which were primarily in real estate, are Regulation D private placements. This makes them unsuitable for retail customers and inexperienced investors. They should have only been marketed to accredited and experienced investors, as well as those who qualified for specific exemptions or met certain requirements.
Reg D private placements tend to be illiquid and poorly regulated. Used by companies to raise money from investors, they don’t have to be registered with the US Securities and Exchange Commission (SEC). They are unregistered securities offerings. You want to work with savvy Regulation D private placement attorneys who understand the nature of these complex, nontransparent investments and know how to prove that broker-dealer negligence or misconduct was involved.
At Shepherd Smith Edwards and Kantas, we continue to pursue damages from brokerage firms on behalf of investors who have suffered losses because their financial advisor made unsuitable investment recommendations, committed due diligence failures, overconcentrated their account, disregarded their best interests, made misrepresentations and omissions about the risks, or committed some other type of broker fraud.
Why Hire Our iCap Securities Loss Law Firm?
When you work with us, you are retaining one of the most seasoned and respected investment loss recovery firms in the United States. More than 90% of our clients have received full or partial financial recovery. We are known for providing quality securities law representation and personalized attention. Our private placement loss recovery attorneys genuinely care about making you financially whole and protecting your legal rights.
Call (800) 259-9010 today or contact us online if your Cambridge Investment Research broker sold you an iCap investment.