Seasoned Northstar (Bermuda) Investment Loss Lawyers Representing Latin American Investors
Six-Figure Brokerage Firm Arbitration Claim Filed Against Truist Investment Services
Two years after Northstar Financial Services (Bermuda) filed for bankruptcy protection, the number of Latin American investors who are seeking to pursue damages from their broker-dealers for unsuitably recommending annuity-like products from this offshore entity continues to grow. At Shepherd Smith Edwards and Kantas (investorlawyers.com), our skilled investor loss attorneys are representing many of these investors in Financial Industry Regulatory Authority (FINRA) arbitrations.
Most recently, this includes another Venezuelan national who suffered huge losses because of allegedly unsuitable and completely inappropriate broker misconduct by Truist Investment Services and its registered representatives. This claimant, who sought a safe haven for his assets in the United States, has now lost a significant amount of his life savings. With the help of our experienced Northstar (Bermuda) investor loss attorneys, he has filed a FINRA lawsuit against Truist in which he is seeking to recover up to $500K in damages.
In his brokerage firm arbitration claim, the claimant is alleging misrepresentations and omissions, negligence, overconcentration, unsuitability investment recommendations, a gross lack of supervision, and other broker misconduct allegations. The arbitration hearing will take place in Boca Raton, Florida.
Why Are Risky, Obscure Investments Like Northstar Financial Services (Bermuda) Unsuitable for Many Investors, Including Foreign Nationals?
To be clear, there is nothing preventing foreign nationals from investing in US securities, which is why many investors from abroad will choose to bring their funds here. Often countries with volatile economies, are seeking a more stable haven for their money while wanting to take on little if any, risk at all. This can be said for many investors from Latin America and Asia who entrusted their funds with Truist and many other US-based broker-dealers that ended up investing their money in Northstar (Bermuda) products.
Yet, Northstar Financial Services (Bermuda) investments don’t have the same protections that cover US-based investments. Not only is the company only located in Bermuda, which, as far back as 2011 was deemed by Moody’s as having a negative outlook for investing—in part because it has no Central Bank—but it was taken over by billionaire Greg Lindberg in 2018. Lindberg, who has since spent time in prison for wire fraud and bribery, is believed to have redirected Northstar (Bermuda)’s assets to other entities he controlled. This is why by September 2020, the company could report just $8M in assets and an over $260M deficit. Who knows if anything will ever be recovered by the receiver in Bermuda. This is why it is so important that as a Northstar (Bermuda) investor, you explore what may be the best legal options for you to recover damages.
This is not the only FINRA lawsuit we have filed against Truist on behalf of clients who have suffered Northstar Financial Services (Bermuda). Truist is a FINRA-registered subsidiary of SunTrust Bank. Many claimants started out as clients of SunTrust, with the latter then referring them to Truist brokers for investing advice. One can only assume that the high commissions and fees that broker-dealers like Truist Investment Services and their financial advisors could earn from selling Northstar Financial Services (Bermuda) investments to customers, including conservator investors and retirees, was a primary incentive.
What Should You Do If You Suffered Northstar (Bermuda) Investor Losses?
Broker-dealers such as Truist Investment Services owe you a fiduciary duty to only recommend investments that are suitable for you given your investing goals, risk tolerance level, age, portfolio, finances, and other criteria. They are also supposed to give you an accurate assessment of the degree of risk you are taking on.
Consider that many investors who were sold Northstar Financial Services (Bermuda) by their brokers are saying that they were told there was not much risk involved. This is why so many of them have since been blindsided and shocked to discover how much they have lost. For many of these investors, their life savings have taken a devastating financial hit.
Unfortunately, it is highly unlikely you will recover anything directly from Northstar (Bermuda). However, you may be able to hold your brokerage firm liable for unsuitably recommending its financial products to you by filing your own securities fraud lawsuit in FINRA arbitration. Although you don’t have to live in the United States to do this, you will need the help of experienced Investment Loss Lawyers in this country to submit a solid investor loss claim on your behalf.
It is important to know that the decision made by your arbitration panel will be final and cannot be appealed. This is why you want to make sure you are represented by a knowledgeable brokerage firm misconduct law firm that knows how to gather the necessary evidence to prove liability and build a convincing case on your behalf.
For over 30 years, Shepherd Smith Edwards, and Kantas have been fighting for investors and protecting their legal rights. We have represented thousands of clients, collectively recovering many millions of dollars for them.
To Avail of Your Free, No Obligation Initial Consultation with our Investment Loss Lawyers:
In the US: (800) 259-9010
International Via What’s App (text only): 966-251-0033
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