On the heals of GPB Capital Founder being indicted, the Securities Lawyers from Halling and Cayo, S.C. are investigating claims to get recovery for investors. The brokers or their companies (broker-dealers) that have recommended and sold GPB Capital funds may be liable for your losses. If you purchased any of the various GPB Funds (including GPB Holdings II and GPB Automotive Portfolio), you may have a claim to recover your losses.
GPB Capital is a New York-based alternative asset management firm focusing on acquiring income-producing private companies. The company has over 1.5 billion dollars in capital and more than 160 portfolio companies focused on automotive, retail, technology, debt strategies and waste management.
GPB Capital Founder and CEO Among Three Individuals Indicted in Private Equity Investment Fraud
GPB Capital has cut its distributions and missed various deadlines for reporting its financial information. At least one class action lawsuit has been filed, but investors with their own significant losses always have the option to opt out of a class and pursue their own claim.
For example, one investor recently recovered over $500,000 against Arete Wealth Management under Michigan’s uniform securities laws related to the sale of GPB Capital to an investor.
If you’re an investor and your broker sold you GPB Capital Holdings, it may have been inappropriate. GPB Capital were sold as what are known as “Reg D” private placement, which are often high risk products, usually illiquid (meaning they cannot be sold) that are generally only suitable for institutions and/or speculative investors seeking high yields. By law, your broker has a responsibility to recommend only suitable investments to their clients as well as perform appropriate due diligence on the products it does sell.
If you were sold GPB, you may have a claim to recover your funds from the broker dealer that sold you the investment. The Securities Lawyers practice group at Halling & Cayo, S.C. can help. We take cases all over the country, and we only get paid if we win. Contact us to set up a meeting to review your case.
Sean M. Sweeney is a shareholder at Halling and Cayo, a full service law firm in Milwaukee, WI and the head of its Securities Litigation team.
He represents individual and institutional investors in FINRA arbitration and court nationwide. He recovers investment losses from fraud or breach of duty from their broker-dealer.
Contact him at (414) 755-5020 or via e-mail at SMS@hallingcayo.com to see if he can help recover funds.