Articles Tagged with REIT fraud attorney

shutterstock_29356093-300x214Former Titan Securities advisor Walter Parker (Parker) has been subject to at least eight customer complaints.  According to a BrokerCheck report many of the customer complaints concern alternative investments and direct participation products (DPPs) such as non-traded real estate investment trusts (REITs), oil & gas programs, annuities, and equipment leasing programs.  The attorneys at Gana Weinstein LLP have extensive experience handling investor losses caused by these types of products.

In addition, in April 2018 FINRA suspended and sanctioned Parker alleging that he made investment recommendations to a customer that were not suitable given her age, risk tolerance, financial experience and liquidity. FINRA found that the customer had little prior experience investing and no experience investing in alternative investments. FINRA alleged that Parker recommended that the customer invest her funds into illiquid, alternative investments and that the customer suffered significant losses in the alternative investments. Due to her investment losses the client was forced to obtain full-time employment.

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shutterstock_183554579-300x200Presidential Brokerage, Inc. (Presidential Brokerage) advisor Jason McBride (McBride) has been subject to at least five customer complaints.  According to a BrokerCheck report many of the customer complaints concern alternative investments and direct participation products (DPPs) such as non-traded real estate investment trusts (REITs), oil & gas programs, annuities, and equipment leasing programs.  The attorneys at Gana Weinstein LLP have extensive experience handling investor losses caused by these types of products.

In May 2018 a client alleged that McBride made unsuitable investments, breached his fiduciary duty, was negligent, and made misrepresentations in the purchase of two REITs and a limited partnership between February 2006 and august 2008.  The complaint claims $251,317 in damages and is currently pending.

Our firm often handles cases involving direct participation products, Non-Traded REITs, oil and gas offerings, equipment leasing products, and other alternative investments.  These products are almost always unsuitable for investors.  In addition, the brokers who sell them are paid additional commission in order to hype inferior quality investments which provides a perverse incentives by brokers to create an artificial market for products that no honest advisor would sell.

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shutterstock_103079882-300x239Previously, the securities lawyers of Gana Weinstein LLP reported on the decline in value of Healthcare Trust, Inc. a non-traded real estate investment trust (Non-Traded REIT).  However, recent news reveals the health of Healthcare Trust may be in further decline.  A tender offer on Healthcare Trust shares was recently made at only $12.11 per share – a significant loss on the original purchase price of $25.00.  In more bad news for investors, the company lowered its annual distribution rate from $1.45 to $0.85 per share or a cut of over 40%.  Had the company continued to pay the higher dividends those payments would have exceeded the cash flows from operations.

According to the firm’s website, Healthcare Trust is an investment trust which seeks to acquire a diversified portfolio of real estate properties focusing primarily on healthcare-related assets including medical office buildings, seniors housing, and other healthcare-related facilities.

Our firm handles where brokers recommend investments in direct participation products (DPPs), private placements, Non-Traded REITs, and other alternative investments.  These products are almost always unsuitable for middle class investors.  In addition, the brokers who sell them are paid additional commission in order to hype inferior quality investments providing perverse incentives for brokers to sell high risk and low reward investments.

shutterstock_140186524-300x298The investment lawyers of Gana Weinstein LLP are investigating the regulatory action brought by the Financial Industry Regulatory Authority (FINRA) against George Oldoerp (Oldoerp).  According to BrokerCheck records, Oldoerp was suspended by FINRA in May 2018. In addition, Oldoerp has been subject to one pending customer complaint and a tax lien.

In November 2017, a customer alleged that from August 2003 to November 2017, Oldoerp recommended the customer to invest in illiquid securities in oil and gas, equipment leasing, Business Development Companies(BDCs), and non-traded Real Estate Investment Trusts (REITs), which were unsuitable investments for the customer. The customer is requesting $500,000 in damages. This complaint is currently still pending.

In April 2018, Oldoerp refused to respond to information requested by FINRA regarding the pending customer dispute. Thus, Oldoerp is undergoing suspension indefinitely until he requests termination of the suspension. If he does not respond by July 16 to FINRA’s Notice of Suspension, he will automatically be barred from the industry.