Securities Fraud Litigation

Securities Fraud Litigation

James Morgan Law consults in securities fraud litigation. There are many kinds of securities fraud cases, including broker dealer fraud, issuer fraud, as well as variable annuity and fixed indexed annuity fraud.

James Morgan Law works with clients to get them the most comprehensive protection from securities fraud opinion and advice on their behalf.

From an investor’s standpoint, it can be all too easy to get caught up in a securities fraud scheme. Sadly, they are omnipresent throughout the Internet, advertising to clients by promising fast, high-yield returns and more. Some are much more sophisticated than others and they are all a danger to the average investor.

If you find yourself incurring investment losses due to dishonest and fraudulent circumstances, you have legal right to recover those losses through litigation, mediation, arbitration, or settlement. In addition to recovering your lost investment, you could also be entitled to recovery of the income your investments should have generated, in addition to the interest on your losses and your legal fees.

Fighting for compensation for lost investments and returns is, like many of the fraudulent schemes out there, very complex.

The first thing you should do if you’ve had investment losses is avoid kicking yourself. There are countless fraudulent schemes designed to steal from even the savviest investors. A few of those schemes include:

  • Advance fee schemes: Some dishonest brokers charge a fee or a commission to their clients before a deal goes through to be repaid later.
  • High-yield investment: The promise of high-yield investments is very attractive, but many times they are offered by unlicensed brokers on unregistered investments. There are millions of examples of these schemes on the Internet.
  • Prime bank investments: Fraudulent brokers will sometimes use their clients’ investments to buy and trade prime bank instruments, mortgage-backed securities, and other uncommon, unconventional investments, masked by a series of complex terms and names.
  • Churning: This is a simple, fraudulent practice in which a broker makes excessive buying and selling moves in a customer’s account for the sole purpose of generating commissions.

Securities Fraud Types

Unfortunately, securities fraud is all too common. James Morgan Law handles securities fraud cases for investors to aid mediation, arbitration, settlements, and litigation.

Usually, disputes involving investments and securities have to go through the Federal Financial Industry Regulatory Authority (FINRA). We have experience in handling these fraud cases through arbitration and have achieved favorable outcomes for our customers.

Various kinds of securities fraud affect millions of Americans constantly. From brokers and investors forging documents to vast Ponzi schemes, the world of investing is fraught with peril. That’s why James Morgan Law works closely with its Denver clients to find solutions and get them their just compensation.

While there are some fraudulent behaviors that are blatant violations of federal and state law, such as the practice of churning, in which a broker executes excessive buying and selling of securities for the purpose of generating commissions on those transactions, there are many others that are more slippery.

Some brokers mismanage their investors’ accounts by failing to supervise and being generally unsuited to manage wealth. Sadly, many investment brokers target vulnerable populations such as the elderly, take their money to invest, and do nothing with it. That is an example of a failure to supervise on the part of the broker, and the investor is absolutely due compensation under the law.

Another slippery legal issue in securities fraud litigation is breach of fiduciary duty. Under the law, all licensed brokers have a duty to their investors to do their best to make them their promised returns. When this duty is neglected, it can lead to massive losses for the investor.