investment loss lawyer

GPB Automotive Portfolio, LP’s Latest Public Filing Raises Doubts That the Business Will Survive; Investors Should Contact an Attorney to Review Legal Rights

Published on: May 18, 2021 | by Iorio Altamirano

On Friday, May 14, 2021, GPB Capital Holdings LLC (“GPB Capital”), a private equity firm based in New York, registered some units in its GPB Automotive Portfolio, LP (“GPB Automotive”) with the Securities and Exchange Commission. As part of its filing, GPB Automotive disclosed that it had substantial doubt of its ability to continue operations. Specifically, GPB Automotive made the following risk factor disclosures to investors and potential investors:

We have determined that there is substantial doubt as to our ability to continue as a going concern, due to the expiration of the credit facility for the majority of our dealerships within 12 months, as well as certain other factors. Our inability to extend the maturity of our credit facility, or replace the credit facility, prior to its maturity in February 2022 would materially adversely affect our financial condition, results of operations, cash flows and business operations.
We may not have adequate funds to complete future capital improvement programs or to make additional acquisitions.

Orchard Securities Broker Alma Edwards Faerber Facing $1 Million Customer Claim

Published on: May 18, 2021 | by Iorio Altamirano

A FINRA customer complaint involving Orchard Securities broker Alma Edwards Faerber alleges that Ms. Faerber recommended alternative investments that were unsuitable. The claim, which was filed on December 11, 2020, is related to Ms. Faerber’s previous association with Triad Advisors. The claim seeks $1 million in damages.

Triad Advisors is one of the Advisor Group network broker-dealers. The firm was fined $150,000 by FINRA earlier this year for failing to adequately supervise short-term trades of mutual fund A shares and variable annuity exchanges. Last year, the firm reported three new investor claims related to private placements sales. According to InvestmentNews, per SEC filings, Advisor Group firms have increased legal reserves by about $4.4 million compared to the prior year.

Iorio Altamirano LLP is currently investigating claims on behalf of defrauded investors who were victims of the GPB funds scheme. GPB Capital sold unregistered, high commission limited partnership interests in eight alternative-asset investment funds. The GPB funds were marketed to independent broker-dealers and investment advisers who would, in turn, sell the GPB funds to their retail investors. According to publicly available records filed with the SEC, both Triad Advisors LLC and Orchard Securities, LLC likely received sales compensation for selling the GPB funds to retail investors.

FINRA Files Enforcement Action Against Broker Adam Belardino, Formerly of MML Investors Services, LLC – Westchester County, New York

Published on: May 13, 2021 | by Iorio Altamirano

The Financial Industry Regulatory Authority’s Department of Enforcement has filed a disciplinary proceeding complaint against former broker Adam Belardino. The complaint alleges that Mr. Belardino failed to cooperate with a FINRA investigation, which was initiated in Aril 2019 after Mr. Belardino’ s employment was terminated by MML Investors Services, LLC and disclosed (through a Form U5) that it discharged Mr. Belardino “in connection with [an] investigation into a customer complaint. The Form U5 (Uniform Termination Notice for Securities Industry Registration) also disclosed a complaint from customers alleging that beginning in November of 2018, Mr. Belardino “misrepresented [the customers’] account values, engaged in excessive levels of trading, and failed to comply with requests to have their accounts liquidated and the proceeds distributed. Additional customer complaints were subsequently disclosed, including a customer alleging that “the REITs that were sold to him [by Mr. Balardino] beginning in or around 2014 were unsuitable for his conservative portfolio.”

At the time of the alleged conduct, Mr. Balardino was associated with MML Investors Services, LLC (“MML Investor Services”) in Elmsford, New York. Prior to being a broker at MML Investor Services, Mr. Belardino was associated with MSI Financial Services, Inc. (“MSI Financial Services”), also in Elmsford, New York.

If you or a loved one were a customer of broker Adam Belardino, MML Investor Services, LLC, or MSI Financial Services, Inc., contact securities arbitration law firm Iorio Altamirano LLP for a free and confidential review of your legal rights.

Investigative Report: Worden Capital Management LLC’s Owners, Executives, and Brokers Have Concerning Red Flag Disclosures

Published on: May 13, 2021 | by Iorio Altamirano

This post is part of a series of investigative blog posts that spotlight modern-day boiler rooms that operate under the guise of a reputable brokerage firm. Many of the broker-dealers featured in this series still use boiler room tactics such as cold-calling customers and high-pressure or aggressive sales tactics. Other brokerage firms have a propensity for broker misconduct, such as excessive trading, churning, unauthorized trades, and misrepresentation. Iorio Altamirano LLP is a securities arbitration law firm based in New York City. We represent investors nationwide who have suffered investment losses due to wrongful conduct by financial advisors and brokerage firms. We are investor advocates.

Other Investigative Blog Posts:

Arive Capital Markets, LLC

How to Recover Investment Losses: Frequently Asked Questions

Published on: May 11, 2021 | by Iorio Altamirano

You worked hard, opened a brokerage or retirement account, and invested your savings with a financial advisor or stockbroker, only to suffer financial losses due to bad investment advice, misleading sales pitches, or brokers that were driven by commissions. Now what?

Can I Sue My Financial Advisor Over Losses?

Yes, you can sue your financial advisor or broker to recover investment losses if the broker did not have your best interest in mind when they made an investment recommendation or offered investment advice. You can also sue your financial advisor or broker if the financial advisor misrepresented or omitted material facts that an investor should have known about the security or investment strategy.

Retail Investors Fight Back Against Robinhood for Its January 28, 2021, Trading Restrictions on “Meme Stocks,” Such as GameStop, AMC, Koss Corporation, and Express, Inc.

Published on: May 10, 2021 | by Iorio Altamirano

On Thursday, January 28, 2021, Robinhood designated specific stocks “position closing only,” meaning that customers could not purchase additional shares in those stocks. The targeted stocks included GameStop (NYSE: GME), AMC (NYSE: AMC), Blackberry (NYSE: BB), Nokia (NYSE: NOK), Koss Corporation (NYSE: KOSS), and Express, Inc. (NYSE: EXPR).

Robinhood was joined by other online brokers, including TD Ameritrade, Charles Schwab & Co, Inc, Interactive Brokers, LLC, Webull Financial, LLC, E*Trade Securities LLC, who all implemented trading restrictions on targeted securities. These online brokerage firms, including Robinhood, intentionally deprived their customers, without notice, of the ability to use their service in order to slow the growth of the targeted “meme stock” securities.

As the trading restrictions were put into place by the online brokerage firms, including Robinhood, retail investors watched helplessly as the value of their positions plummeted with no potential to remediate the positions given the wrongful sale pressure initiated by Robinhood and others.

Iorio Altamirano LLP Investigates AEON Capital Inc. Over GPB Funds

Published on: May 5, 2021 | by Iorio Altamirano

AEON Capital Inc. is a broker-dealer headquartered in Middletown, New Jersey. According to publicly available records filed with the SEC, the firm likely received sales compensation for selling the GPB funds to retail investors.

AEON Capital Inc. is a firm subject to FINRA Rule 3170. The Rule is referred to as the “Taping Rule,” which requires certain firms to install taping systems to record all telephone conversations between their registered persons and existing and potential customers, review those recordings and file reports with FINRA. The Rule is designed to prevent fraudulent and improper practices in the sale or marketing of financial products. The Rule applies to firms with a significant number of registered persons that previously worked for firms that have been expelled from the industry or have had their registrations revoked for inappropriate sales practices.

Iorio Altamirano LLP is investigating claims on behalf of defrauded investors who were victims in the GPB funds scheme. GPB Capital sold unregistered, high commission limited partnership interests in eight alternative-asset investment funds. The GPB funds were marketed to independent broker-dealers and investment advisers who would in turn sell the GPB funds to their retail investors.

Iorio Altamirano LLP Investigates Pariter Securities, LLC Over GPB Funds

Published on: May 5, 2021 | by Iorio Altamirano

Pariter Securities, LLC is a broker-dealer based in Guaynabo, Puerto Rico. In September 2019, the Commissioner of Financial Institutions of the Government of Puerto Rico (“OCFI”) found that the firm failed to put into place a supervisory system that was reasonably designed to achieve compliance with suitability rules and regulations regarding alternative investments transactions.

According to publicly available records filed with the SEC, Pariter Securities, LLC likely received sales compensation for selling the GPB funds to retail investors. GPB Capital sold unregistered, high commission limited partnership interests in eight alternative-asset investment funds. The GPB funds were marketed to independent broker-dealers and investment advisers who would in turn sell the GPB funds to their retail investors.

Iorio Altamirano LLP is investigating claims on behalf of defrauded investors who were victims in the GPB funds scheme.

Iorio Altamirano LLP Investigates Cabot Lodge Securities LLC Over GPB Funds

Published on: May 5, 2021 | by Iorio Altamirano

Cabot Lodge Securities LLC is a midsize independent broker-dealer headquartered in New York, NY. According to publicly available records filed with the SEC, the firm likely received sales compensation for selling the GPB funds to retail investors.

Cabot Lodge Securities LLC is under common control with Purshe Kaplan through holding company PKS Holdings, LLC. Read more about our firm’s investigation into Purshe Kaplan.

Iorio Altamirano LLP is investigating claims on behalf of defrauded investors who were victims in the GPB funds scheme. GPB Capital sold unregistered, high commission limited partnership interests in eight alternative-asset investment funds. The GPB funds were marketed to independent broker-dealers and investment advisers who would in turn sell the GPB funds to their retail investors.

Iorio Altamirano LLP Investigates Calton & Associates, Inc. Over GPB Funds

Published on: May 5, 2021 | by Iorio Altamirano

Calton & Associates, Inc. is a Florida-based broker-dealer. According to publicly available records, the firm is facing a $500,000 customer complaint from an investor who suffered losses in his account. The investor’s account held positions in the GPB funds.

Iorio Altamirano LLP is investigating claims on behalf of defrauded investors who were victims in the GPB funds scheme. GPB Capital sold unregistered, high commission limited partnership interests in eight alternative-asset investment funds. The GPB funds were marketed to independent broker-dealers and investment advisers who would in turn sell the GPB funds to their retail investors. Public records filed with the SEC show that Calton & Associates, Inc. likely received sales compensation for selling the GPB funds to retail investors.

If you lost money in GPB funds with Calton & Associates, Inc., you may have a claim.