State and federal securities laws are put in place to ensure stockbrokers, brokerage firms, and other financial professionals provide the information and guidance investors need to make sound investment decisions. Unfortunately, investment and securities fraud still costs many unwitting investors their life savings. If you have lost money due to fraud, a New York investment fraud lawyer can help you explore your legal options and fight for the financial recovery and justice you deserve.
At Erez Law, PLLC, our New York investment fraud attorneys have a proven track record of success representing clients across the U.S. and around the world. We have successfully recovered more than $175 million in financial compensation for clients who have sustained losses from securities and investment fraud. Our investment loss attorneys have the experience and resources to take on even the most powerful Wall Street brokerages and firms. We can level the playing field for you.
If you have suffered suspicious investment losses, turn to a New York securities fraud lawyer at Erez Law, PLLC, for a free initial case review. We can discuss how our firm may help you fight to recover the financial losses you have suffered.
What Is Securities Fraud?
Securities fraud refers to misconduct that results in an investor making a purchase or transaction of securities that does not comply with the investor’s strategy or risk tolerance, or that causes the investor to suffer financial losses. Securities fraud can involve various at-fault entities, including:
- Investment advisors
- Brokerage firms
- Financial institutions
Securities fraud normally involves withholding material information from a prospective investor. Securities fraud can result in both criminal liability for the parties that engage in fraud and civil liability for the financial losses that the victims incur.
Signs You May Have Been the Victim of Investment Fraud
Common signs of investment fraud include:
- Your brokerage account statements don’t make any sense to you, or the figures don’t add up.
- Material information regarding an investment is not disclosed to you.
- Your investments regularly lose value, even while the overall market continues to grow.
- You experience a significant drop in the value of an investment in a short period of time.
- Your investments drop in value despite the market broadly rising in value.
- An investment’s financial results regularly fail to meet publicly announced performance expectations.
- Your brokerage ceases communication with you and stops returning calls or emails.
As all investments have a degree of risk, these signs do not necessarily mean that fraud has occurred. However, if you’re concerned, those signs should prompt you to speak to a New York investment fraud lawyer to investigate further and determine whether misconduct has led to your losses.
How a New York Investment Fraud Attorney Can Help You
If you have suffered losses because of securities fraud, a New York investment fraud attorney from Erez Law, PLLC, can help you by:
- Conducting an investigation into your claims to recover evidence that can help prove investment fraud
- Determining the extent of your financial losses from the fraud
- Identifying the parties who committed the fraud or who can be held liable to you for the losses that you have sustained
- Exploring your legal rights and options with you, including pursuing formal complaint procedures with regulators
- Vigorously arguing for your right to full and fair compensation for your losses
Common Types of Securities Fraud Cases Our Firm Helps With
At Erez Law, PLLC, our attorneys have successfully represented clients in investor fraud cases involving:
- Hedge fund fraud – Hedge funds are managed private investment funds that pursue an investment strategy using money pooled from investors. Misconduct and mismanagement can lead to significant losses for investors.
- Junk bond fraud – This includes misrepresentations regarding volatile, high-risk, or speculative investments in corporate bonds or bond funds.
- Oil and energy investment fraud – This includes failing to properly advise prospective investors of the risks of investing in the oil and energy industry due to the sector’s volatility.
- Ponzi scheme fraud – Ponzi schemes refer to fraudulent enterprises in which prior investors are paid dividends and distributions from money obtained from new investors, who are enticed to invest based on the promise of high returns.
- Preferred shares of stock fraud – Preferred shares of stock may not be suitable for investors, or brokers may not warn investors of the risk.
- Private placement fraud – This refers to fraud committed by non-public companies raising money, usually due to failing to make full material disclosures to prospective investors.
- Variable annuity investment fraud – These financial instruments pay income to investors based on the performance of the investments that the annuity fund has made. Variable annuities may be unsuitable for an investor, or a broker may switch investors from one fund to another to generate fees for themselves.
- Stockbroker fraud and misconduct – This includes failure to provide all important information to clients or making transactions on the client’s behalf without their knowledge or authorization, usually to benefit the broker.
- Elder financial fraud – This includes the illegal use of an elder’s funds without their knowledge or permission.
- EB-5 Immigrant Investor Program fraud – This involves financial exploitation of foreign nationals seeking to emigrate to the U.S. and become permanent lawful residents through the EB-5 visa program. The program provides visas to foreigners who make investments in U.S. companies that facilitate hiring and growth.
What Is the Securities Fraud Statute of Limitations?
Under federal and state securities laws, defrauded investors have a limited amount of time to file lawsuits seeking compensation for their losses. These time limits are known as statutes of limitations. The Financial Industry Regulatory Authority (FINRA) also limits the amount of time investors have to file fraud claims.
The time you have to take legal action in your investment fraud claim depends on the circumstances of your case. For that reason, you need to speak to a New York investment fraud lawyer as soon as possible to determine what actions to take to protect your right to financial compensation.
How Much Do Securities Fraud Attorneys Charge?
When you turn to Erez Law, PLLC, for help from a New York investment fraud lawyer, you can rest assured that you will not need to pay any money upfront to retain our firm’s assistance. We work on a contingency basis, which means that you only pay securities fraud attorneys’ fees if we recover compensation for you. However, state and federal securities laws sometimes allow fraud victims to petition the court for fee-shifting, which means that the defendants who lose a securities fraud case must pay the legal fees and costs of the prevailing plaintiff(s).
Resources for New York Investors
Investors in New York who believe they may have suffered from securities or investment fraud have several resources they can turn to for help. Those resources include:
- New York Investor Protection Bureau – This is a state agency responsible for overseeing the sale and exchange of securities in New York.
- New York Consumer Protection Division – This agency responds to complaints of consumer protection law violations, including complaints brought by individual victims of investment and securities fraud.
- New York’s Martin Act – This is a New York state securities law that governs the issuance and transaction of securities.
- FINRA – The Financial Industry Regulatory Authority is a private organization that provides self-regulation for the financial and brokerage industry.
- U.S. Securities and Exchange Commission – This federal organization oversees the securities industry in the U.S. and enforces federal securities laws and regulations.
New York investors should remember that government and private regulatory agencies often have limited ability to obtain financial recovery for the victims of securities fraud. This makes it important for those who have suffered losses from investment fraud to speak to an attorney as soon as possible to go over their legal options.
Talk to Our New York Securities Fraud Attorneys Now
If you have lost money because of investment fraud, contact Erez Law, PLLC, today for a free consultation with a New York securities fraud attorney. We stand ready to help you begin pursuing a legal claim for the compensation you deserve after an investment dispute.
Our nationally recognized firm works with investors in New York City, Buffalo, Rochester, and throughout the state. We also represent international investors who have been victims of fraud.