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CST: 12/12/2019 05:55:18   

Shepherd, Smith, Edwards & Kantas Files Lawsuit Against Money Concepts Capital Corporation for Wrongful Sale of GPB Capital to Investors

70 Days ago

HOUSTON, Oct. 02, 2019 (GLOBE NEWSWIRE) -- The law firm of Shepherd, Smith, Edwards & Kantas, LLP (“SSEK”) has filed a case against Palm Beach Gardens, Florida-based Money Concepts Capital Corporation (“Money Concepts”) for one of their registered representatives pushing clients into investing into the funds of troubled alternative asset manager GPB Capital Holdings (“GPB” or “GPB Capital”). According to the complaint filed with the Financial Industry Regulatory Authority (“FINRA”), Money Concepts and its broker encouraged clients to buy GPB Capital with borrowed money, representing the investment as a safe alternative investment that paid a stable rate of return and which would “go public” in the near future, resulting in a large return and liquidity to the investment.

This is one of several cases where SSEK Law Firm is representing investors who were sold GPB Capital from various brokerage firms all over the country. SSEK is also investigating Money Concepts on behalf of a number of other clients who were sold GPB or other private placement investments. It appears from SSEK’s investigation that Money Concepts was encouraging its representatives from all over the country to sell expensive and illiquid private placements like GPB Capital to customers where such investments were clearly unsuitable and, according to the investors SSEK has interviewed, often misrepresented.   

GPB Private Placements Funds

GPB Capital is a New York based alternative asset manager that invests in waste management and car dealerships. The private placement issuer is under investigation by FINRA, the SEC, the FBI and several state regulators. According to GPB, the company raised $1.8 billion from investors and reportedly paid out more than $165 million in commissions to brokers across the country for GPB sales. Unfortunately, the value of GPB’s Funds have dropped dramatically in recent months as the company continues to miss filing deadlines.

Private Placement Lawyers

Please contact the securities fraud attorneys at SSEK if you suffered losses from investing in a GPB, or any other private placement, that was recommended to you through Money Concepts, or through another brokerage firm and/or financial adviser. Our lawyers represent investors whose brokers and their firms inappropriately recommended investments to them, such as GPB Capital. Contact SSEK Law Firm to request your free, no obligation case consultation.

Contact: 800-259-9010

Sam Edwards: sedwards@sseklaw.com

Kirk Smith: ksmith@sseklaw.com

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