Kentucky investment fraud attorney Robert Wayne Pearce at the Law Offices of Robert Wayne Pearce P.A., has extensive experience representing investors and organizations in securities arbitrations through FINRA in the State of Kentucky.
Have you fallen victim to investment fraud? Are you looking for an experienced attorney to help you fight for the compensation you deserve?
You need an investment fraud lawyer who is dedicated to protecting your rights as a Kentucky-based investor.
For over 40 years we have helped investors cope with the distress and challenges faced by them as victims of investment fraud, and we’re committed to supporting you through the legal journey to seek justice and accountability from those at fault.
Since 1980, we have been devoted to helping investors and have successfully recovered over $170 million in settlements and verdicts on their behalf. View client testimonials here. We have experience handling all types of securities fraud cases and utilize all available legal avenues from the federal level to Kentucky law as it applies to investment fraud cases. Don’t let investment fraud ruin your financial future – contact the Law Offices of Robert Wayne Pearce, P.A. today via our quick-response form, or call (800) 732-2889.
Definition of Investment Fraud and Securities Fraud
Investment fraud, also known as securities fraud, refers to the use of deceitful tactics, including the dissemination of false or misleading information, to influence investors into making decisions that lead to significant financial losses. This type of fraud can include the unethical behavior of brokers who may go as far as to steal investors’ funds or securities directly.
All forms of investment fraud aim to deceive investors into taking actions that benefit the perpetrator financially. This may include schemes like Ponzi schemes, pump-and-dump schemes, or the sale of unregistered securities. Securities fraud is an illegal or unethical activity punishable by law.
“Did you know that in the first quarter of 2023, The FTC has reported nearly 50,000 individual cases of investor fraud with an estimated $1.9 Billion in total losses?”
Brokers, broker-dealers, and investment advisers frequently market novel and complex investment products, aiming to secure high commissions and profits irrespective of their clients’ capacity to absorb potential financial setbacks. These intricate investment options and tactics, appropriate only for a niche group of investors open to substantial risks, are occasionally employed to conceal excessive activity and risk exposure in accounts.
Example Scenario: A broker convinces an investor to allocate a significant portion of their retirement funds into a high-risk, illiquid investment, minimizing the associated risks and exaggerating the potential gains while urging the investor to decide swiftly. Eventually, the investment does not perform as expected, resulting in substantial financial losses for the investor.
When you first hired your broker-dealer, it’s likely that you trusted them to put your best interests first. Unfortunately, many brokers and financial advisors don’t live up to their fiduciary duty or have committed outright securities fraud. They might mislead you about investments, conceal risks, engage in excessive trading (churning) to generate commissions, or overcharge you with hidden fees.
Investment Losses? We Can Help
Discuss your legal options with an attorney at The Law Offices of Robert Wayne Pearce, P.A.
or, give us a ring at (800) 732-2889.
Kentucky and Federal Laws That Protect Investors
Kentucky investors benefit from a robust framework of protections designed to ensure fair and transparent markets. These safeguards include:
- Key Laws and Regulations
- Kentucky Securities (Blue Sky Law): The cornerstone of Kentucky investor protection, this law combats fraud, mandates the registration of most securities, and provides avenues for investors to seek recourse if they’ve been misled.
- Kentucky Business Corporations Code: This outlines shareholder rights and the responsibilities of company leaders, aiming to ensure that corporations act in the shareholders’ best interests.
- Kentucky Consumer Protection Act: This broad law empowers investors to take action against unfair or deceptive investment practices.
- Governing Agencies
- Kentucky Dept. of Financial Institutions: This agency is the primary watchdog for the Kentucky securities industry. They register offerings, license brokers, investigate misconduct, and educate investors about their rights.
- Office of the Kentucky Attorney General (Consumer Protection Division): Focused on consumer protection, this office can intervene in cases of investment fraud or other deceptive practices that harm Kentucky investors.
- National Regulatory Bodies
- FINRA (Financial Industry Regulatory Authority): FINRA oversees all broker-dealers in the US, setting ethical standards, enforcing securities laws, and providing investor education resources. They work alongside the SEC (Securities and Exchange Commission) for broad investor protection.
Useful Resources
- Kentucky State Securities Board: https://kfi.ky.gov/newstatic_info.aspx?static_id=377&menuid=67
- Office of the Kentucky Attorney General, Consumer Protection Division: https://kentucky.gov/government/Pages/AgencyProfile.aspx?Title=Department+of+Financial+Institutions
- FINRA: https://www.finra.org/
- SEC – https://www.sec.gov/
How our Kentucky Securities Law Attorneys Can Help You
Yes, investment losses are a part of investing, but when brokers commit fraud, they can be held legally responsible. If you believe you have been a victim of investment fraud, it is important to contact an investment fraud lawyer with experience handling these types of cases. Regulatory bodies like the SEC or FINRA might also need to be alerted to potential market manipulation or insider trading.
Acting quickly enhances your likelihood of obtaining compensation. At the Law Offices of Robert Wayne Pearce, P.A., we’ve successfully assisted numerous investors in recouping their losses stemming from investment fraud. Our team will conduct an in-depth investigation of your situation, identifying any instances of misinformation or fraud, and will advocate vigorously to secure the justice and compensation you are entitled to.
Should you suffer financial losses due to a stockbroker’s or advisor’s negligence or fraud, the simplest method to determine your legal standing is by contacting our office at 800-732-2889. Discover how our skilled and experienced investment fraud law firm can represent your interests:
- Represent & Advise: We’ll stand as your legal representative, advising you on your rights and options throughout the process.
- Investigate & Analyze: We’ll thoroughly investigate your case, meticulously analyzing financial documents and potential fraudulent schemes to uncover evidence of wrongdoing.
- Identify Liable Parties: We’ll work strategically to identify all potentially liable parties, including brokers, financial advisors, and financial institutions.
- File Complaints & Lawsuits: We’ll file formal complaints with regulatory agencies (such as the SEC or FINRA) and, when necessary, initiate lawsuits to protect your interests.
- Litigate & Negotiate: We are skilled litigators ready to fight aggressively for you in court or arbitration. Additionally, we’ll negotiate tirelessly to secure the most favorable settlement possible.
- Recover Losses: Our ultimate goal is to recover your financial losses and protect you from further harm. We are results-driven and committed to achieving the maximum financial recovery you deserve.
Can I Recover my Investment Losses?
In order to recover your investment losses, you must prove that your broker-dealer or financial advisor breached their statutory and/or common law duties to you as an investor.
In most cases, this means filing a FINRA arbitration claim against the broker-dealer and/or representative.
The majority of securities fraud cases are handled by FINRA (Financial Industry Regulatory Authority) rather than being brought to the court system.
FINRA arbitration is a streamlined, cost-effective way to resolve disputes between investors and their brokers without going to court – it also allows you to collect punitive damages, which are not available in civil court.
As an investor, you have certain rights that must be respected and protected.
We’re currently investigating several financial firms and stockbrokers who may have been the subject of customer complaints, may be facing legal action, and who may have acted unethically and committed fraud in Kentucky, including:
- https://www.secatty.com/investigations/donald-woods-thurston-spring-financial/
- https://www.secatty.com/investigations/jonathan-upton-lpl-financial-llc/
- https://www.secatty.com/investigations/christopher-watts-lpl-financial/
- https://www.secatty.com/investigations/rebecca-thomas-merrill-lynch-pierce-fenner-smith/
- https://www.secatty.com/investigations/james-taylor-northwestern-mutual-investment-services-2/
- https://www.secatty.com/investigations/william-fenwick-first-kentucky-securities/
- https://www.secatty.com/investigations/terrance-seelow-j-p-morgan-securities/
- https://www.secatty.com/investigations/marci-coots-morgan-stanley/
- https://www.secatty.com/investigations/robert-kane-fifth-third-securities/
- https://www.secatty.com/investigations/phillip-sutton-raymond-james-financial-services/
- https://www.secatty.com/investigations/kelly-johnston-fidelity-brokerage-services-2/
- https://www.secatty.com/investigations/clifton-smith-ameriprise-financial-services/
- https://www.secatty.com/investigations/matthew-thompson-fifth-third-securities/
- https://www.secatty.com/investigations/brenton-ditto-lpl-financial/
- https://www.secatty.com/investigations/christopher-watkins-silver-oak-securities/
- https://www.secatty.com/investigations/robin-lawson-concourse-financial-group-securities/
- https://www.secatty.com/investigations/kenneth-baize-lpl-financial/
- https://www.secatty.com/investigations/william-munday-robert-w-baird-co/
- https://www.secatty.com/investigations/wesley-layne-fidelity-brokerage-services/
- https://www.secatty.com/investigations/stephen-franklin-lpl-financial/
- https://www.secatty.com/investigations/leigh-anne-parker-edward-jones/
- https://www.secatty.com/investigations/jonathan-hicks-madison-avenue-securities/
- https://www.secatty.com/investigations/jeffrey-schultz-jr-fidelity-brokerage-services/
- https://www.secatty.com/investigations/james-hill-iii-blackstone-advisory-partners/
- https://www.secatty.com/investigations/earl-davis-woodmen-financial-services/
Some of our Lawyer’s Success Stories Include:
FEDERAL COURT FINAL JUDGMENT $21,041,285
Case No. 1:10-cv-21444-KMM
College Health and Investment, Ltd. v Esther Spero
This Final Judgment was entered against the defendant for fraud, breach of fiduciary duty, and civil theft pursuant to Sections 812.014 and 772.11, Fla. Stat.
FINRA ARBITRATION SETTLEMENT $8,214,596
In this FINRA Arbitration case resolved by our firm, investors accused their financial advisor of misrepresenting and completely omitting the risks associated with employing a highly leveraged credit spread strategy. Additionally, the clients contended that the financial advisor, who was affiliated with a prominent investment bank, inappropriately invested all their assets in this unsuitable strategy. The account became excessively leveraged and was exposed to significant liquidations of securities at drastically reduced prices to satisfy margin calls in March 2020. The matter was settled before the arbitration hearing, which was scheduled for January 2022.
FINRA ARBITRATION SETTLEMENT $7,840,000
This FINRA arbitration involved a complex options trading strategy in the oil and gas sector for a Brazilian holding company against one of the largest Midwest broker-dealers in United States and resolved through mediation on the eve of trial in 2010.
Did You Know . . . Investment Fraud Attorney Robert Pearce Has Single-Handedly Collected Over $170 Million On Behalf of His Clients
In the last 20 years alone, Robert Pearce has recovered over $170 million for his investor clients. In fact, he has recovered funds for over 99% of his investor clients through various avenues of recovery, including settlements, arbitrations, and court litigation.
No investment fraud firm can ever guarantee the same or similar results in any given case. However, when you hire the Law Offices of Robert Wayne Pearce, P.A., you can sleep well knowing you are in qualified and capable hands. Attorney Robert Pearce has represented hundreds of investors over his 40 year career and in the last 20 years alone recovered over $170 million for his investor clients.
Robert Pearce will fight for your rights day in and day out to get you the recovery you are entitled to.
What Can an Investment Fraud Lawyer Do for Investors?
What Can an Investment Fraud Lawyer Do for Investors?
An investment fraud lawyer helps investors recover investment losses that they lost due to a financial advisor or broker who did not act in their best interest. Typically, the lawyer will help the investor recover their losses through a process called FINRA arbitration.
Investment Losses? Let’s talk.or, give us a ring at 800-732-2889.
Client Testimonials
What is the Cost to Hire a Securities Attorney?
Meeting with a securities lawyer for the first time is usually without charge. In this meeting, the attorney will examine your situation and provide an estimate of the legal costs. Should you choose to proceed with your case, you will generally be required to enter into a contingency fee contract. Under such an agreement, legal fees are only payable to the attorney if they successfully secure a financial recovery for you. If the attorney does not achieve a successful outcome, you will not be liable for any legal fees.
What Are the Statute of Limitations?
When dealing with investment fraud cases, acting swiftly is crucial. Statutes of limitations, as established by both Kentucky and federal laws, impose strict deadlines for initiating legal actions. In Kentucky, the timeframe for pursuing fraud claims is usually up to five years after the fraud’s discovery, but never exceeding ten years from when the fraud occurred. On the federal level, the deadline for filing securities fraud lawsuits is generally within five years of the infringement or two years from when the fraud ought to have been identified. Consulting with a lawyer promptly is essential to make sure your case is filed within the correct period.
Types of Investment and Securities Fraud Cases We Can Help Represent You With
There are a variety of investment fraud tactics that unscrupulous brokers and advisors may use.
Our firm has represented investors who have fallen victim to a wide range of investment fraud tactics, including:
- Unsuitable Investments: Recommendations not aligned with the investor’s needs.
- Forced liquidation (forced selling): Broker sold without warning client or advising on margin calls.
- Ponzi Scheme Fraud: Fraudulent investment operation promising high returns.
- Excessive Trading (Churning): Excessive transactions to generate advisor commissions.
- Misrepresentation & Omission: Deceptive or misleading information about investments.
- Breach of Fiduciary Duty: Prioritizing advisor interests over the client’s best interests.
- Unauthorized Trading: Executing trades without client permission.
- Failure to Supervise: Brokerage firms not adequately monitoring advisors.
- Overconcentration or lack of diversification: Holding too much of a single investment, increasing risk.
- Theft or Misappropriation of client funds: Brokers stealing money for their own personal use.
- Mutual Fund Sales Violations: Recommending unsuitable mutual funds or excessive switching.
- Excessive Markups/Markdowns: Inflated prices when buying/selling securities.
- Selling Away: The advisor sells unapproved investments outside the firm.
- Broker & Advisor Negligence: Failure to adhere to industry standards.
- Margin Abuse: Encouraging excessive margin use, leading to high risks.
- Conflicts of Interest: Prioritizing advisor/firm profits over client interests.
- Private Placements: Selling risky, non-registered securities.
- Cryptocurrency Fraud: Deceitful schemes related to digital currencies.
- 401(k) Plan Misconduct: Fiduciary breaches affecting retirement plans.
- Microcap Fraud: Manipulation of stocks of small companies.
- Mining and Mineral Investment Fraud: Schemes involving fictitious investments in mining or minerals.
- EB-5 Immigrant Investor Program Fraud: Scams related to obtaining visas through investment.
- Advance Fee Schemes: Asking for upfront fees in exchange for non-existent investments.
- Including many more that we can’t fit on this list
Contact a Kentucky Securities and Investment Fraud Attorney Today
The Law Offices of Robert Wayne Pearce, P.A., is a law firm specializing in representing defrauded investors recover. Kentucky investment fraud lawyer Robert Wayne Pearce specializes in getting individuals their money back from bad investments using any and all available methods.
If you are an investor who has recently dealt with investment loss due to potential securities or investment fraud, we want to help.
If you have questions about how to move forward, contact our team online or by phone at 561-338-0037 for a free confidential consultation with a Kentucky securities lawyer. We will fight aggressively for your financial recovery and for justice.
Our law firm works with clients in Lexington, Owensboro. Bowling Green, Louisville, Richmond, Covington, Florence, Georgetown, Hopkinsville, Berea, and throughout the state of Kentucky. Robert Wayne Pearce has decades of first-hand experience in FINRA securities arbitration, and is one of the preeminent experts in this matter both nationwide and internationally.