Tag Archives: recover private placement losses

James B. Lunsford-Former Mid Atlantic Capital Broker-Discloses Customer Disputes Involving Private Placements-Sonoma, CA

April 2017- Sonoma, CA

According to publicly available records James B. Lunsford , (CRD# 2222307) ,  a  former stockbroker who last worked for Mid Atlantic Capital Corp.  discloses three pending customer disputes, one prior customer dispute and 4 outstanding judgement/liens. 

The Financial Industry Regulatory Authority (FINRA) is the agency that licenses and regulates stockbrokers and brokerage firms. FINRA requires brokers and brokerage firms to report customer complaints and disputes as well as regulatory sanctions. In addition brokers are required to disclose certain financial matters such as personal bankruptcies, judgments and liens.

In pending FINRA arbitration 17-0606 a customer of Mid Atlantic Capital Corp. alleges damages of $500,000 in connection with the purchase of a private placement in an IRA account which the customer alleges was speculative and unsuitable. 

In pending FINRA arbitration 16-03515 a customer of Mid Atlantic Capital Corp. alleges damages of $200,000 in connection with the purchase of a private placement.

In pending FINRA arbitration 15-01319 a customer of Mid Atlantic Capital Corp. alleges damages of $450,000, failure to supervise and other claims in connection with the purchase of a limited partnership interest.

Mid Atlantic Capital Corp.  has been a FINRA member since 1982 and is headquartered in Pittsburg, PA. They have about 210 associated persons and 70 branch offices. In FINRA Case 15-0333 they were ordered to pay nearly $1 million to customers in Denver for damages resulting from the purchase of illiquid real estate private placements. See this for details. 

Lunsford was employed by Mid Atlantic Capital Corp. from 5/2004-12/2015.

If you have questions about an account  handled by James B. Lunsford or have losses on alternative investments purchased from Mid Atlantic Capital Corp. , contact us to discuss your legal options.

Alternative investments include non publicly traded real estate investment trusts (REITS) , equipment leasing and oil and gas limited partnerships. These investments tend to be complex, illiquid, nontransparent, hard to value and expensive. Many of the alternative investments sold over recent years are not traded on any public market making them difficult to value and even more difficult to liquidate if cash is needed.

Rex Securities Law , with offices in Boca Raton, FL,  and  Austin, TX,   provides representation to  investors  nationwide who are seeking recovery of investment losses due to the negligence or fraud of stockbrokers and broker dealers. If you have questions about how your account has been handled, call to speak with an experienced securities attorney.

Most cases handled on a contingent fee basis meaning that you do not pay legal fees unless we are successful.

Nationwide Representation

Rex Securities Law

TollFree: 877-224-3199

Florida-561 391 1900 

Texas-512-329-2870

Losses On Servergy, Inc ? – Recovery Options for Investors

April 12, 2016-Fort Worth, Texas

The Securities and Exchange Commission (SEC) filed fraud charges against McKinney, TX based Servergy, Inc. , William E. Mapp III, Caleb J. White and Texas attorney general Warren K. Paxton, Jr. Link to complaint. 

The SEC alleges that from November 2009-September 2013 $26 million was raised through private offerings by Servergy Inc. from investors who were duped into believing that Servergy was generating sales on new groundbreaking server technology when, in reality,  the server technology was behind that of competitors and there were not any sales.

In a February 2013 Private Placement memorandum, Servergy’s co-founder and then CEO William Mapp, III, led investors to believe their new server, the Cleantech-1000, was revolutionary and in high demand, Servergy hired WFG Investments of Dallas to raise $20 million in that offering.

According to the SEC complaint Servergy made numerous misrepresentations and omissions in the private placement memorandum about the new server to investors. In addition, the SEC alleges that investors were misled as to the purported sales figures leading investors to believe the company was generating income.

Brokerage firms have a duty to investigate the companies they are recommending. Thorough due diligence would likely have revealed the false information being disseminated by Servergy and its promoters.

If you invested in Servergy, Inc.  you may be able to recover damages from WFG Investments or the brokerage firm where you purchased Servergy, Inc. Call to discuss your options.

Rex Securities Law , with offices in Boca Raton, FL,  and  Austin, TX,   provides representation to  investors  nationwide who are seeking recovery of investment losses due to the negligence or fraud of stockbrokers and broker dealers. If you have questions about how your account has been handled, call to speak with an experienced securities attorney.

Most cases handled on a contingent fee basis meaning that you do not pay legal fees unless we are successful.

Nationwide Representation

Rex Securities Law

TollFree: 877-224-3199

Florida-561 391 1900 

Texas-512-329-2870

Bruce Meyers Investigation-Meyers Associates, LP

UPDATE-April 2017

The FINRA records of Bruce Meyers, a currently unregistered stock broker who formerly worked for  Meyers Associates,  now report 19 disclosure events, including 1 pending and 7 final regulatory events, 2 pending and 6 final customer disputes and 2 currently ongoing investigations .

Meyers discloses receiving a Wells notice in October 2016 and a second Wells notice in November 2016. A Wells notice is a letter that the U.S. Securities and Exchange Commission (SEC) sends to people or firms when it is planning to bring an enforcement action against them.

In currently pending FINRA Case 16-0454 a customer of Meyers Associates alleges damages of $545,000 in connection with allegedly unsuitable investments in private placements.

ORIGINAL POST-April 7, 2016-New York, NY

The Financial Industry Regulatory Authority (FINRA) is the agency that licenses and regulates stockbrokers and brokerage firms. FINRA requires brokers and brokerage firms to report customer complaints and disputes as well as regulatory sanctions. In addition brokers are required to disclose certain financial matters such as personal bankruptcies, judgments and liens.

FINRA records are public and can be accessed on the BrokerCheck website. 

The FINRA records of Bruce Meyers, a stock broker with Meyers Associates,  report 15 disclosure events, including 2 pending and 6 final regulatory events, 1 pending and 6 final customer disputes .

One of the pending regulatory events , FINRA Case 2010020954501, alleges that Meyers and his member firm engaged in the improper public offering and sale of unregistered securities in which they made unbalanced and exaggerated claims.

FINRA Case 15-01147 is a currently pending customer dispute. In that case the customer alleges that Meyers made unsuitable investments and misrepresentations. Damages of $125,424 are alleged.

Meyers has been employed by Meyers Associates since 7/1994.

If you have losses in an account handled by Bruce Meyers contact us to learn how you may be able to recover damages from his employer.

Rex Securities Law , with offices in Boca Raton, FL,  and  Austin, TX,   provides representation to  investors  nationwide who are seeking recovery of investment losses due to the negligence or fraud of stockbrokers and broker dealers. If you have questions about how your account has been handled, call to speak with an experienced securities attorney.

Most cases handled on a contingent fee basis meaning that you do not pay legal fees unless we are successful.

Nationwide Representation

Rex Securities Law

TollFree: 877-224-3199

Florida-561 391 1900 

Texas-512-329-2870

Vincent Pereira- Private Placement Customer Complaints Settled

According to FINRA records, stockbroker Vincent Louis Pereira currently is employed by Alexander Capital, where he has been registered since 2/2015. His previous registrations include:

  • Blackbook Capital                       11/2014-2/2015
  • Source Capital Group                 6/2014-11/2014
  • John Carris Investments           2/2014-6/2014
  • Rockwell Global Capital            10/2011-2/2014
  • Rockwell Global Capital            12/2008-3/2011

In 3/2014, Pereira pled guilty to  misdemeanor petit larceny from a store in the criminal court of the City of New York and was sentenced to 1 day of community service.

Pereira has settled five customer disputes, including:

FINRA Case 11-3539– customer alleged that while Pereira was employed by Rockwell Global Capital, Pereira failed to perform due diligence and breached his fiduciary duty in connection with a $100,000 private placement investment. The case was settled for $35,000.

FINRA Case 11-3373-customer alleged that while he was employed by Rockwell Global Capital, Pereira failed to perform due diligence and breached his fiduciary duty in connection with a $150,000 private placement investment. The case was settled for $40,000.

FINRA Case 11-3003-customer alleged that while he was employed by Rockwell Global Capital, Pereira made false statements, was negligent and breached his contract duty in connection with a $300,000 private placement investment. The case was settled for $150,000.

FINRA Case 11-3586-customer alleged that while he was employed by Rockwell Global Capital, Pereira failed to perform due diligence and breached his fiduciary duty in connection with a $50,000 private placement investment. The case was settled for $20,000.

FINRA records report seven outstanding judgments and liens, including an Internal Revenue Service lien of $25,817. See FINRA report for full details.

If you have questions about an account handled by Vincent Pereira, call to speak with an experienced securities attorney.

Rex Securities Law , with offices in Boca Raton, FL,  and  Austin, TX,   provides representation to  investors  nationwide who are seeking recovery of investment losses due to the negligence or fraud of stockbrokers and broker dealers. If you have questions about how your account has been handled, call to speak with an experienced securities attorney.

Most cases handled on a contingent fee basis meaning that you do not pay legal fees unless we are successful.

Nationwide Representation

Rex Securities Law

TollFree: 877-224-3199

Florida-561 391 1900 

Texas-512-329-2870

Recovery Options for Investors Purchasing Private Placements From World Equity Group

If you have losses on private placement investments or exchange traded funds (ETFs) purchased from World Equity Group, we may be able to help you recover damages.

World Equity Group was censured and fined $225,000 by the Financial Industry Regulatory Authority (FINRA) in February 2015 for various issues, including:

  • failure to comply with the Bank Secrecy Act
  • failure to adequately investigate the restrictive nature of certain stocks deposited
  • deficiencies with their email communication systems
  • failure to establish and maintain customer suitability records
  • inadequate system to ensure suitability of non traditional Exchange Traded Funds (ETFs)
  • inadequate due diligence in connection with private placements

FINRA AWC No. 2012030734701

Inadequate Due Diligence on Private Placement Offerings

FINRA noted that from July 2009-January 2012, World Equity Group conducted at least eight private placement options (including Newport Digital Technologies), raising over $6 million. From August 2010 to July 2012 World Equity Group conducted at least five non-traded real estate investment trust (REIT) offerings, selling more than $3 million worth.

While FINRA noted that due diligence files were maintained , there was insufficient documentation demonstrating whether the due diligence reports were actually reviewed by anyone at World Equity Group. FINRA also suggested that there was a potential conflict of interest between the issuers of the private placements and the third party diligence providers.

World Equity Group has been a FINRA member since 1992. They are based in Arlington Heights, Illinois and have about 160 brokers in 68 branch offices.

Investors with losses on private placements and/or ETFs purchased from World Equity Group may be able to recover damages through FINRA arbitration.

Rex Securities Law , with offices in Boca Raton, FL,  and  Austin, TX,   provides representation to  investors  nationwide who are seeking recovery of investment losses due to the negligence or fraud of stockbrokers and broker dealers. If you have questions about how your account has been handled, call to speak with an experienced securities attorney.

Most cases handled on a contingent fee basis meaning that you do not pay legal fees unless we are successful.

Nationwide Representation

Rex Securities Law

TollFree: 877-224-3199

Florida-561 391 1900 

Texas-512-329-2870