Investigating Claims Involving Catalyst Energy 2019-2 LP
Are you concerned about investment losses in Catalyst Energy 2019-2 LP? If so, The White Law Group may be able to help you recover your losses by filing a FINRA Dispute Resolution claim against the brokerage firm that sold you the investment.
Catalyst Energy, Inc. is an independent company that specializes in the development of oil and natural gas resources in the Appalachian region of northwestern Pennsylvania, according to its website.
The company often raises money for investments through Reg D private placement offerings such as Catalyst Energy 2019-2 LP. These Reg D private placements are then typically sold by brokerage firms in exchange for a large up-front commission. The company purportedly filed the $20,000,000 equity offering in 2020.
The trouble with alternative investment products, like Catalyst Energy offerings, is that they involve a much greater degree of risk compared to traditional investments, such as stocks, bonds or mutual funds. Alternative investments are typically sold as unregistered securities and lack the same regulatory oversight as more traditional investment products. An additional risk inherent to oil and gas private placements is the general risk that comes with the energy market – a market that has seen enormous ups and downs over the past two years due to Covid-19 global pandemic.
Broker dealers that sell alternative investments are required to perform adequate due diligence on all investment recommendations to ensure that each investment is suitable for the investor in light of the investor’s age, risk tolerance, net worth, financial needs, and investment experience.
However, another unfortunate by product of Reg D private placements is that the high sales commission brokers earn for selling such products may provide some brokers with enough incentive to push the product to unsuspecting investors who do not fully understand the risks of these types of products.
Potential Lawsuits to Recover Financial Losses
If a broker or brokerage firm makes an unsuitable investment recommendation or fails to adequately disclose the risks associated with an investment, they may be liable for investment losses.
To determine whether you may be able to recover investment losses incurred as a result of your purchase of Catalyst Energy 2019-2 LP or another Catalyst Energy private placement investment, please contact The White Law Group at 1-888-637-5510 for a free consultation.
The White Law Group, LLC is a national securities fraud, securities arbitration, investor protection, and securities regulation/compliance law firm with offices in Chicago, Illinois and Seattle, Washington. For more information on the firm, visit www.WhiteSecuritiesLaw.com.
To learn more about the firm’s investigation of oil and gas private placements please see:
Oil and Gas Private Placements – Securities Fraud Lawsuits Investigation
Catalyst Energy 2016-1 LP Securities Investigation
Last modified: February 8, 2022