With Bermuda-Based Entity in Liquidation, Investors’ Best Bet For Financial Recovery is to File FINRA Arbitration Claims
Shepherd Smith Edwards and Kantas are investigating claims that Raymond James Financial Services marketed Northstar Financial Services (Bermuda) investments through the United Nations Federal Credit Union (UNFCU).
The latter is an American credit union that was founded in 1947. Its members include employees, retirees, consultants of the United Nations, various affiliated entities, as well as family members of UNFCU members.
Raymond James Financial Services is one of the largest brokerage firms in the US. Its headquarters is in St. Petersburg, Florida. The firm is one of several broker-dealers whose registered representatives sold Northstar Financial Services (Bermuda) fixed- and variable-rate annuity and investment products to customers.
With the firm now in liquidation proceedings, following its bankruptcy filing and the criminal fraud convictions of its owner billionaire Greg Lindberg for wire fraud and bribery, investors’ best chance of recovering damages for their losses is to file a FINRA arbitration claim against the brokerage firms and their registered representatives that sold them these products.
This is where SSEK Law Firm comes in. Already, we have filed several cases for investors both in the United States and abroad against their US-based broker-dealers. Investors of Northstar Financial Services (Bermuda) have come forward alleging that not only were misrepresentations and omissions made to them as they were unsuitably recommended these off-shore investments, but also their portfolios may have been overconcentrated with these products.
If you are an investor who suffered significant losses call Shepherd Smith Edwards and Kantas (SSEK Law Firm at investorlawyers.com) today at (800) 259-9010 to speak with our investment fraud attorneys.
The Firms We Are Investigating Related To Northstar Financial Services (Bermuda) Investments:
- Raymond James Financial Services
- United Nations Federal Credit Union (UNFCU)
- Ocean Financial Services
- Unionbanc Investment Services
- Hancock Whitney Investment Services
- Truist Investment Services
- Bankoh Investment Services
- Cetera Investment Services
- J.P. Morgan Securities
Even if UNFCU didn’t directly sell Northstar (Bermuda) products to customers, it still should have ensured that these investments were suitable for clients.
Brokers who recommended these products have earned high commissions and other financial incentives/fees from these sales. This could be a reason that they promoted these off-shore products to customers over comparable US-based products that didn’t carry as much risk while providing more protection.
Although there is nothing wrong with recommending off-shore annuities to customers, Northstar Financial Services (Bermuda) investors are now finding themselves with huge losses especially as it appears that Lindberg likely funneled the company’s money into other entities that he operated.
Failure To Supervise Led to Broker Negligence
Even after Lindberg was indicted on criminal fraud charges in 2019, brokerage firms could then have notified their customers and helped them get out. Instead, many brokers continued to roll over their clients’ contracts for Northstar (Bermuda) products.
Had these firms been properly supervising their brokers, it is unlikely that many of the Northstar (Bermuda) investment transactions would have been approved. Considering that broker-dealers have a duty to supervise their registered representatives, that alone can be grounds for a claim to recover damages.
Seasoned Northstar Financial Services (Bermuda) Fraud Law Firm
SSEK Law Firm represents investors in the US and abroad, including in Asia, Central America, and South America in their FINRA arbitration claims against US-based broker-dealers that sold Northstar Financial Services (Bermuda) products. Call our securities law firm at (800) 259-9010 today. If living internationally, contact us via WhatsApp on (713) 227-2400.
For more information, read the most commonly asked Northstar (Bermuda) FAQs.