Articles Tagged with REIT lawyer

shutterstock_152933045-300x200The law offices of Gana Weinstein LLP are investigating broker Marc Korsch (Korsch), currently associated with Centaurus Financial, Inc. (Centaurus Financial) out of Sarasota, Florida and Port Charlotte, Florida.  According to a BrokerCheck report, Korsch has been subject to at least three customer disputes, one financial disclosure, and one criminal matter during the course of his career.  According to records kept by The Financial Industry Regulatory Authority (FINRA), the customer complaints against Korsch concern allegations of unsuitable investment recommendations and misrepresentations.

In June 2019 a customer alleged that from August 2014 through May 2019, Korsch misrepresented the features of real estate securities and provided misleading information causing $53,000 in damages.  This dispute is currently pending.

In April 2018 a customer alleged that Korsch made an unsuitable recommendation of annuity switches.  The claim alleged $55,000 in damages and settled for $8,000.

In February 2017 a customer filed a complaint alleging that Korsch and his previous member firm, Trustmont Financial Group, Inc. (Trustmont Financial), violated the securities laws by, among other things, engaging in common law fraud, unsuitable investments, failure to supervise, and misrepresentations causing $500,000 in damages.  The FINRA arbitration panel ordered Trustmont Financial to pay the customer $848,002 in compensatory damages, $100,000 in punitive damages, $15,596 in costs, and $82,500 in attorneys fees.

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shutterstock_20354398-300x200Advisor Thomas Burns (Burns), formerly employed by Crown Capital Securities, L.P. (Crown Capital) has been subject to at least seven customer complaints and two regulatory actions.  According to a BrokerCheck report some 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 February 2019 FINRA settled a regulatory dispute with Burns where Burns consented to sanctions and an entry of findings that he negligently made numerous mistakes causing errors and inaccuracies in identifying customer assets on alternative investment forms causing his firm to have inaccurate books and records. For instance, FINRA found that Burns mistakenly double counted assets held away from his firm in direct pension benefit plans by placing the individual holdings in their individual categories and by counting them again in the other assets category. FINRA found that Burns made computational errors in adding up holdings when calculating net worth.  In addition, FINRA alleged that Burns erroneously understated the amount of existing alternative investment holdings by either unintentionally understating the value of existing tenants in common or rental holdings or by misclassifying those existing holdings as personal real estate, instead of as alternative investments.

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shutterstock_120115444-300x198Advisor Ghazaleh Ebrahimi (Ebrahimi), currently employed by Stifel, Nicolaus & Company, Incorporated (Stifel, Nicolaus) has been subject to at least four customer complaints.  According to a BrokerCheck report some 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 November 2018 a customer filed a complaint alleging that Ebrahimi violated the securities laws by violation of standards of reasonable basis suitability, just and equitable principles of trade, fraud, misleading statements, misleading omissions of material information; breach of fiduciary duty; negligent misrepresentation; negligence; breach of contract and warranty; third party beneficiary breach of contract; breach of the covenant of good faith and fair dealing; elder abuse; and aiding and abetting financial elder abuse.  The customer alleged $1.3 million in damages and the claim is currently pending.

In June 2018 a customer filed a complaint alleging that Ebrahimi violated the securities laws by violation of breach of fiduciary duty; negligence; breach of contract; common law fraud and deceit; and violations of FINRA rules  The customer alleged $1.3 million in damages and the claim is currently pending.

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shutterstock_85873471-300x200Advisor Leslie Goldstein (Goldstein), currently employed by Securities America, Inc. (Securities America) has been subject to at least four customer complaints, two regulatory actions, and one employment termination for cause.  According to a BrokerCheck report some 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 December 2018 a customer complained that Goldstein violated the securities laws by alleging that the financial advisor did not explain the impact of an early withdrawal from a variable annuity on the client’s future annuity income benefits. The claim was withdrawn.

In July 2018 a customer filed a complaint alleging that Goldstein violated the securities laws by alleging concentrated positions in illiquid investments, annuities, life insurance and non-traded REITs which were unsuitable. The allegations also include churning, excessive commissions, breach of fiduciary duty, and negligence. The claim alleged $1,000,000 in damages and is currently pending.

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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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