Tag Archives: Boca Raton Unsuitable Investments Attorney
Another Man Sentenced in Connection with Billion-Dollar Florida Ponzi Scheme
On Feb. 20, a federal judge in Miami sentenced former attorney Frank Preve to 3½ years in jail for his role in one of the most infamous Ponzi schemes of all time. Preve is among dozens of people convicted of criminal charges in connection with the scheme, which was orchestrated by the now-defunct law… Read More »
SEC Warns Investors Not to Fall for “Prime Bank” Scams
Securities fraud frequently involves misleading potential investors by using complicated-sounding language. After all, the more complex the investment sounds, the more likely it is to earn enormous profits, right? At least that is what the perpetrators of the fraud want you to believe. The U.S. Securities and Exchange Commission has identified a number of… Read More »
Judge Allows SEC Case Against Accused Oil & Gas Scam to Proceed
On December 31, 2014, a federal judge in Dallas denied a motion to dismiss a Securities and Exchange Commission complaint against a Texas man accused of defrauding investors out of nearly $10 million. SEC v. Couch The defendant, Charles Couch, owns Couch Oil & Gas, Inc. (COG) According to the SEC’s complaint, Couch and… Read More »
The Basics of “Secured Notes”
Investors should always be skeptical about complicated-sounding investments that promise to minimize or eliminate risk. One such type of investment is known as a “structured note.” This describes any hybrid security that includes multiple financial products. Structured Notes Structured notes are linked to some other index or security. Here is a simple example of… Read More »
Understanding “Master Limited Partnerships”
“Master limited partnerships” are a complicated-sounding investment. And with good reason. MLPs are often advertised as can’t-miss, low-risk securities, but the truth is many investors simply do not understand how they work. A master limited partnership—officially called a “publicly traded partnership” by the Internal Revenue Service—basically combines the legal structure of a limited partnership… Read More »
WSJ Warns Florida Seniors About Broker Free Lunch Seminars
The Wall Street Journal recently analyzed where most of nation’s estimated 630,000 stockbrokers work and found at least five “hot spots” in Florida alone. The Journal identified Palm Beach County as having “one of the highest rates of troubled brokers” in the country, largely due to the presence of a high number of persons… Read More »
SEC Charges Ex-CEO With Leaking Confidential Information to Restaurant Manager
On Nov. 21, the U.S. Securities and Exchange Commission announced two men had agreed to settle insider trading charges related to the buying and selling of shares of GenTek, Inc., a company that produces chemical products and engine components. Prior to its 2009 acquisition by a private equity form, GenTek was publicly traded on… Read More »
Federal Prosecutors Charge Operator of Bitcoin Ponzi Scheme
On Nov. 6, the United States Attorney’s office in Manhattan charged Trendon Shavers with securities fraud in connection with his defunct Bitcoin Savings & Trust, an alleged Ponzi scheme targeting users of the popular virtual currency Bitcoin. Shavers was arrested at his home in Texas. Back in August, a federal judge rejected Shavers’ argument… Read More »
SEC Attacks Social Media-Based Investment Schemes
On November 12, the U.S. Securities and Exchange Commission announced administrative charges against two Indian nationals who allegedly ran a “high-yield investment scheme” designed to lure customers through social media. According to an SEC order, the Commission’s Division of Enforcement believes the two men utilized a highly trafficked website, together with YouTube, Twitter, Facebook… Read More »
SEC Provides Hedge Fund Data to Congress
In 2010, in response to the 2007–2008 financial crisis, the federal government passed the Dodd-Frank Wall Street Reform and Consumer Protection Act. Dodd-Frank made a number of important changes to financial regulation in the United States, including to reporting requirements of private funds like private equity funds or hedge funds. Private equity typically involves… Read More »
