Take Investment Fraud Action

In Part 1 of this series, we identified a sampling of what might constitute investment fraud. In Part 2, we discussed ways to avoid becoming the victim of a scam or investment fraud. In this post, we discuss what should be done if your preventative measures failed to keep you from someone’s unscrupulous behavior and what to do when you take investment fraud action.

Dealing with Investment Fraud

If you are a victim of investment fraud, there are several things that you can do, and some things that must be done to give yourself the best chance at recovering your investment losses. Once you have discovered investment fraud, take investment fraud action.

Contact a Lawyer

If you think you have been someone’s prey in an investment scheme or if you believe that the true risks of an investment were not disclosed to you, you should contact an experienced investment fraud lawyer. Fraud, like many other illegal activities, has a statute of limitations. You need to make sure you protect your rights within the timeframe specified by the law or you could forfeit your right to recover anything, no matter how guilty the perpetrator is.

Go Up the Ladder

If you are dealing with an individual stockbroker, you can reach out to the broker’s supervisor and inform them of your concerns about the recommendations and advice that the broker has given to you. Many supervisors protect their brokers, however, and may not candidly acknowledge a broker’s misconduct.  For that reason, contacting an experienced investment fraud lawyer likely is the best way to proceed.  Importantly, many investment fraud victims often first contact securities regulators, such as the SEC or the Financial Industry Regulatory Authority (FINRA) to file a complaint. But these regulators often do nothing to help investors recover their investment losses. Rather, even when they investigate and find wrongdoing they often only fine, suspend, or bar a broker or brokerage firm from the industry and do nothing to help investors recover their investment losses

File a Lawsuit or FINRA Arbitration Claim

An experienced investment fraud attorney can help you identify the strengths in your case and advise you on the best way to proceed and whether you can bring your claim in court or in arbitration. An experienced investment fraud attorney can help you navigate the FINRA arbitration system or the court system. Many investment fraud lawyers handle such cases on a contingency-fee basis, where they only get paid when and if they recover money for you.

Are You a Victim of Investment Fraud?

If you have suffered investment losses because your broker or brokerage firm violated your trust, misrepresented or omitted crucial information before you invested, overcharged you, or engaged in some other misconduct, you may have legal rights that require your immediate attention.
With offices in Los Angeles our securities lawyers have helped investment fraud victims throughout Santa Monica, Beverly Hills, and Hollywood and recovered over $100 million from banks and brokerages firms for their wrongful actions.

Call an Investment Fraud Attorney Today

Contact an attorney at Dimond Kaplan & Rothstein, P.A. today to schedule an appointment or consultation to review your rights and options.