The White Law Group Files a Claim against National Securities Corp and B. Riley Wealth Management
The White Law Group announces the filing of a FINRA arbitration claim against National Securities Corp and B. Riley Wealth Management for investment losses involving high risk alternative investments.
The firm submitted a claim to FINRA Dispute Resolution on behalf of Georgia resident alleging claims for violation of common law fraud, breach of fiduciary duty, negligence, and negligent supervision.
The claim further alleges that National Securities Corp and B. Riley Wealth failed to supervise unsuitable recommendations in high-risk alternative investments including the following, among others:
Innovation X Holdings QP, LLC – Series 2019-5
Innovation X Sunstone Apartments
Innovation X Holdings QP, LLC – CFFT III
Innovation X Holdings QP, LLC – Magic Leap
Innovation X Holdings QP, LLC – Series 2018
Innovation X Holdings, QP, LLC – Series 2019-4
Innovation X Holdings, QP, LLC – Spotify
Innovation X Holdings, QP, LLC – Pinterest
Innovation X Holdings, QP, LLC – Lyft
CENN
AAUAF
TTNP
RMED
The claim seeks damages of $1,000,000 and $5,000,000.
Brokerage firms have a fiduciary duty to adequately disclose the risks involved in an investment before recommending it to its clients. It must perform the necessary due diligence to determine whether the investment is suitable for the investor. National Securities Corp and B. Riley Wealth allegedly failed to perform the necessary due diligence on these investments before recommending them to these investors.
FINRA, the regulator who oversees brokers and brokerage firms, provides FINRA Dispute Resolution as an arbitration venue for investors with claims against their brokerage firm or financial advisor. It provides investors with an opportunity to attempt to recoup their investment losses and is an alternative to filing a claim in court.
“Investors often suffer losses due to unsuitable investment recommendations by their brokers and don’t realize they have recovery options,” said D. Daxton White, managing partner of The White Law Group, a national securities fraud and FINRA arbitration firm.
Brokerage firms are required to supervise their representatives to make sure that they are following FINRA rules. If it can be determined that the financial advisor’s employers failed to adequately supervise him, these firms can be held responsible for any resulting losses in a FINRA arbitration claim.
The White Law Group is a national securities fraud, securities arbitration, and investor protection law firm with offices in Chicago, Illinois and Seattle, Washington.
For more information on The White Law Group and its representation of investors in FINRA arbitration claims please call (888) 637-5510.
