Arkadios Capital Lawsuit Investigation: Investor Alerts

Arkadios Capital Lawsuit Investigation – Investor Alerts

Arkadios Capital an investment advisory firm, is facing increasing scrutiny due to multiple customer complaints and allegations of broker misconduct. The firm is known for promoting high-risk private placement investments, which have led to significant investor losses in some cases.

About Arkadios Capital

Founded in 2016, Arkadios Capital offers a wide range of investment services, including mutual funds, ETFs, annuities, and alternative investments such as Regulation D private placements and real estate investment trusts (REITs). These types of investments can be complex, illiquid, and unsuitable for many retail investors.

Unfortunately, Arkadios Capital has reportedly  been connected to several investor complaints involving misrepresentation, failure to supervise, and unsuitable investment recommendations—particularly regarding high-commission, high-risk investments.

Broker Misconduct & Customer Complaints

Several Arkadios Capital representatives have been named in customer disputes involving allegations of:

• Unsuitable investment recommendations
• Overconcentration in speculative private placements
• Misrepresentations and omissions
• Breach of fiduciary duty
• Failure to supervise

Among the brokers reportedly named in complaints and the allegations:

• Suzanne Wheeler – Allegedly recommended unsuitable private placement investments (GWG L Bonds), resulting in a $500,000 claim.
• Jason Stone – Involved in a $100,000 investor complaint citing failure to supervise and breach of fiduciary duty.
• Debbie Biosca – Named in a multi-million dollar investor dispute involving alleged fraudulent schemes.
• Marc Korsch – Formerly with Arkadios, Korsch faces several pending claims totaling over $2.8 million.
• James Walesa – Named in five customer complaints totaling over $7 million in alleged investor losses.
• Rick Lopez – Previously ordered to pay over $1.5 million in a FINRA arbitration award for unsuitable investment recommendations.
• Mike Lickiss – Facing investor complaints totaling over $2 million related to private placement investments.

Broker Due Diligence & Failure to Supervise

Broker-dealers like Arkadios Capital are required by FINRA rules to perform adequate due diligence on the investment products they offer. This means thoroughly researching an investment’s risks, structure, and the background of the issuer before recommending it to retail clients.

Additionally, firms have a legal obligation to supervise their registered representatives. This includes reviewing transactions, monitoring communications, and investigating any red flags. When a firm fails to supervise its brokers properly, it may be held liable for their misconduct—even if the firm was unaware of the wrongdoing at the time.

Class Action vs. FINRA Arbitration – What’s the Difference?

While some investors may consider joining a class action lawsuit, most disputes with broker-dealers are resolved through FINRA arbitration, a mandatory alternative dispute resolution process agreed to when opening most brokerage accounts.

• Class Actions: May take years to resolve and typically offer minimal individual compensation.
• FINRA Arbitration: Offers a more direct and often quicker path for individual investors to recover losses. Claims are heard by a panel of arbitrators, and awards are binding.

The White Law Group exclusively handles FINRA arbitration cases and has recovered millions on behalf of investors nationwide.

Free Consultation with a Securities Attorney

The White Law Group is currently investigating potential claims involving Arkadios Capital and its financial professionals. If you invested with Arkadios Capital and have concerns about your investments, you may be able to recover your losses through FINRA arbitration.

The White Law Group is a national securities fraud, securities arbitration, and investor protection law firm with offices in Chicago, IL and Seattle, WA. Our attorneys have handled over 800 FINRA arbitration cases across the country.

Call for a Free Consultation

 888-637-5510
www.whitesecuritieslaw.com

Frequently Asked Questions

1. Is Arkadios Capital a legitimate investment firm?

Yes, Arkadios Capital is a registered broker-dealer and investment adviser regulated by FINRA and the SEC. However, the firm has faced multiple investor complaints and regulatory scrutiny related to its sale of high-risk alternative investments.

2. Can I recover investment losses from Arkadios Capital?

Possibly. If you were sold unsuitable investments, or if your broker misrepresented the risks or failed to disclose conflicts of interest, you may be eligible to file a FINRA arbitration claim to recover your losses. Each case is fact-specific.

3. What types of investments are involved in these complaints?

Many of the complaints involve private placements, non-traded REITs, structured products, and other alternative investments that carry higher risks, fees, and liquidity issues. These are often unsuitable for conservative or retirement-focused investors.