Category Archives: Fraud
Blue Sky Laws and Financial Securities Fraud
The term “Blue Sky Laws” are state regulations that are designed to protect potential investors against securities fraud. They require sellers of new issues to register the offerings, along with providing applicable financial data, unless there is some sort of exemption. This helps give investors more peace of mind when it comes to investing… Read More »
What is the Process for a Court to Appoint a Receiver for an LLC?
In any action where a party has asserted a claim to dissolve an LLC, the court has the authority to appoint a receiver to wind up or liquidate the LLC. In order to appoint a receiver, the court must first hold a hearing after providing notice to all parties and interested persons designated by… Read More »
When Will a Member or Shareholder Be Liable for Company Debts?
We have previously posted about a member’s exposure for the debts of an LLC. We thought it also would be useful to discuss additional situations when a member or a shareholder will be liable for the LLC’s or corporation’s obligations. Florida courts, like many other U.S. jurisdictions, recognize a doctrine often called “piercing the corporate… Read More »
Fraudulent Sales Practices: Wells Fargo To Pay $185 Million
Illegal sales practices: Wells Fargo To Settle Wells Fargo & Co. has agreed to pay $185 million to settle federal regulators’ investigation for illegal sales practices. The bank acknowledged that it pushed employees to open as many as 2 million accounts without customers’ approval. As a result of the scandal, Wells Fargo said, effective… Read More »
Financial Fraud: Don’t Be an Easy Target
The headlines are full of stories of identity theft and investment fraud. There are steps you can take to keep from being an easy target. Guard your Social Security number! Memorize the number and don’t carry your Social Security card unless you know you are going to need it (for example, it’s your first… Read More »
Investment Advisor Fraud – Who You Gonna Sue?
Here’s something you probably don’t think about when you hire an investment advisor: who will I be able to sue if this person steals my money? Maybe you should think about it. Investment Advisor Fraud If you’re dealing with a major brokerage firm like Merrill Lynch, Morgan Stanley, UBS or Charles Schwab, the answer… Read More »
Are “Conspiracy Theories” Viable in Civil Cases?
We’re all familiar with the phrase “conspiracy theory” from the movies and John Grisham novels. We also know that such theories are commonly used in federal and state criminal courts to allege a host of jointly committed crimes. But do conspiracy theories apply in civil cases? Yes, in fact, a specific cause of action for civil… Read More »
If the IRS Calls, It May Be OK to Hang Up!!
FINRA recently released an Investor Alert, entitled Tools of the Fraud Trade: Phones and Emotions, warning seniors and other investors about a new IRS impersonation scam. The basic scam involves a very aggressive and authoritative caller who tells the victim that he or she owes back taxes and proceeds to demand immediate payment of… Read More »
FIFA Officials Indicted for Racketeering and Fraud
The Department of Justice announced that high-ranking officials of the governing body for soccer worldwide – referred to as “football” outside of the United States – the Fédération Internationale de Football Association (“FIFA”), and others have been charged with racketeering, wire fraud, money laundering, and bribery. According to the Justice Department, the soccer officials… Read More »
Standard & Poor’s to Pay $1.375 Billion to Settle Lawsuits
According to the Department of Justice, rating agency Standard & Poor’s Financial Services, LLC (“S&P) and its parent company McGraw Hill Financial, Inc. have agreed to settle multiple lawsuits brought by the federal government, 19 states, and the District of Columbia concerning ratings S&P gave to certain mortgage securities just before the 2008 financial… Read More »