Retail Investor Filed Six-Figure Arbitration Claim Against Moloney Securities for Recommending GWG L Bonds
Iorio Altamirano LLP, a securities arbitration law firm, filed a FINRA arbitration complaint against Moloney Securities for recommending GWG L Bonds.
GWG Holdings, Inc. (NASDAQ:GWGH)
“GWG L Bond investors should contact our law firm to learn why dozens of GWG investors have decided to trust us with their cases.”— August M. Iorio, Esq.
NEW YORK, NEW YORK , UNITED STATES, December 23, 2022/ EINPresswire.com / -- Iorio Altamirano LLP has filed a six-figure FINRA arbitration claim against Moloney Securities Co. Inc. (“Moloney Securities”). The claim alleges that two Moloney Securities brokers recommended that a middle-aged retail investor invest a significant six-figure amount into speculative, high-risk, illiquid, and unrated L Bonds issued by GWG Holdings, Inc. (“GWG Holdings”).
The arbitration complaint (FINRA Case No. 22-01683) alleged that the risky L Bonds were not in the retail investor’s best interest because the retail investor had a moderate risk tolerance whose primary investment objective was growth, not speculation. Accordingly, the claim alleges that Moloney Securities failed to meet the standards of care owed to the retail investor, which are set forth in the SEC’s Regulation Best Interest (Reg BI) and FINRA’s suitability rule.
The FINRA arbitration claim was filed about one month after the SEC charged another broker-dealer, Western International Securities, Inc., and five of the firm’s brokers with violations of Reg BI for selling GWG L Bonds to retail customers. This is the first significant enforcement action the SEC has brought under Reg BI.
Iorio Altamirano LLP ( gwglawyer.com ), a nationally recognized securities arbitration law firm, is representing GWG L Bond investors in filing arbitration claims against broker-dealers across the country, including Centaurus Financial, Inc., Western International Securities, Inc., Emerson Equity LLC, International Asset Advisory, LLC, Westpark Capital, Inc., AGES Financial Services, Ltd. TFS Securities, Inc., NI Advisors, The FIG Group, LLC, Intervest International Equities Corporation, Integrity Brokerage, LLC, Center Street Securities, Inc., and Independence Capital Co., Inc. Based on the law firm’s investigation, there appears to have been widespread negligence and misconduct connected with the sale of GWG L Bonds.
The securities arbitration attorneys of Iorio Altamirano LLP encourage all investors who purchased GWG L Bonds from Moloney Securities, or any other broker-dealer, to contact the firm to review their legal rights. Investors will receive a free case evaluation. To set up an evaluation, email securities arbitration attorneys August Iorio at firstname.lastname@example.org or Jorge Altamirano at email@example.com. Alternatively, call the firm toll-free at (855) 430-4010.
In addition to Reg BI and suitability violations, the retail investor’s arbitration complaint alleges that Moloney Securities and its brokers misrepresented and omitted material information about the GWG L Bonds. Specifically, the claim states that Moloney Securities and the financial advisors failed to notify their customer that in the years before several of the recommendations to purchase the security, GWG Holdings, Inc., the issuer of the L Bonds, had materially reoriented its business model. The claim also alleges that Moloney Securities and its broker failed to conduct reasonable due diligence about GWG Holdings and its L Bonds and, as a result, did not understand key risks associated with GWG Holdings and the GWG L Bonds.
GWG Holdings filed for Chapter 11 bankruptcy protection on April 20, 2022. Many GWG L Bond investors are skeptical that they will receive any significant portion of their principal back.
Iorio Altamirano LLP has recently published the initial findings of its comprehensive investigation into GWG Holdings and continues to urge individuals who purchased L Bonds issued by GWG Holdings, Inc. to contact the firm for a free and confidential consultation.
What Investors Can Do: GWG L Bond investors should contact securities arbitration law firm Iorio Altamirano LLP to review their legal options. The firm will review the terms of investors’ GWG L Bond investments at no cost. Customers may be entitled to compensation without paying any out-of-pocket fees or costs through a contingency fee arrangement with securities arbitration law firm Iorio Altamirano LLP. To set up an evaluation, email securities arbitration attorneys August Iorio at firstname.lastname@example.org or Jorge Altamirano at email@example.com. Alternatively, call the firm toll-free at (855) 430-4010.
About Iorio Altamirano LLP:
Iorio Altamirano LLP is a national securities litigation law firm based in New York, NY. The law firm pursues FINRA arbitration claims nationwide on behalf of investors to recover financial losses arising out of wrongful conduct by financial advisors and brokerage firms.
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