Investigators bring a lawsuit against GPB Capital fraud

Business

Investors have filed a lawsuit against GPB Capital and its senior executives and affiliates among many other things. They have lost a million dollars of money by investing in this company. By bringing the lawsuit against this company, the investors want the company to produce the financial statement immediately and it has promised them so. They want to give GPB an additional chance to prove themselves clean before they sue further through other Acts. The company is an asset management firm, which wants to acquire private companies in multiple industries such as waste management sectors and automotive retail.

Investors who have lost money through investments in GPB Capital fraud programs can contact securities attorneys for discussing their legal options. It fell under FINRA and SEC investigations related to the private placements. The inquiries made by these bodies focused mainly on whether the disclosers made to the investors by GPB were accurate and whether the funds and capital distribution worked as they were told. The controversy, later on, turned up the heat, when FBI visited the firm’s office and invested its investment programs. The lawyers representing the investors who experience to deal with high-profile cases related to securities or investment fraud.

GPB capital investors

Several investment companies who have been declared bankruptcy have done nothing for their investors. There is a very limited time open for the investors in recovering their losses. The investors who have lost money by investing in GPB Capital should hire security attorneys. These lawyers help investors in recovering losses and they specialize in securities laws. These firms have significant experience to deal with claims against financial advisors and brokerage firms. Hiring the lawyers seems to be the only legal option opened before the investors.

A Ponzi scheme

According to many law firms, GPB capital fraud is nothing but a Ponzi scheme. Even the company’s former partner accused GPB to run a Ponzi scheme in the court filings. In a Ponzi scheme, the investors who want to get out early receive more compensation compared to the ones who do not get out at all or get out in the end. The FINRA and the SEC are investigating the sales and financial practices of this company. FBI raided the company in the early 2019 and this probe was made to investigate whether the company was operating a Ponzi scheme. The company paid brokerage to the brokers and the financial advisors up to 12 percent to sell its private placements.