L Bond Fraud Attorneys 

Shepherd Smith Edwards and Kantas L Bond Fraud Attorneys Win Six-Figure GWG L Bonds Arbitration Award For Retiree Against SW Financial

Boca Raton Investor Entrusted Broker-Dealer To Keep Her Money Safe

A Financial Industry Regulatory Authority (FINRA) arbitration panel has awarded a Boca Raton, Florida investor $174,507.98 in compensatory damages in her GWG L Bond fraud lawsuit against SW Financial. Shepherd Smith Edwards and Kantas (investorlawyers.com) represented this claimant, who is a retiree and a novice investor, in pursuing the financial recovery she was owed.

In her investment loss recovery claim, our client alleged a breach of fiduciary duty, unsuitable investment recommendations, misrepresentations, negligence, gross negligence, breach of contract, supervisory failures, and more. This was an inexperienced investor who made it clear to her SW Financial broker from the start that she wanted financial security for her retirement. Instead, he inappropriately recommended GWG Holdings’ high-risk junk bonds—earning himself high commissions in the process—that eventually led to her significant portfolio losses.

Broker-Dealers Earned High Commissions From Selling GWG L Bonds

GWG Holdings is an alternative asset company that is accused of running a more than $1.6 billion Ponzi scam. Some 40 regional brokerage firms sold GWG L-Bonds and earned high fees and commissions in the process. These supposedly low-risk life-settlement backed bonds were, in fact, illiquid, non-transparent, risky auto-renewable, callable junk bonds. The callable part meant that GWG could have chosen to repurchase these bonds without penalty at any time, even if this cost investors.

In 2020, GWG filed for Chapter bankruptcy protection. Before then, it had stopped investing in life insurance policies and was instead directing investors’ money—without telling them—to GWG Chairman Brad Heppner’s company Beneficient.

In an earlier FINRA arbitration ruling that granted an investor a $100K L Bond recovery award against brokerage firm Greenberg Financial Group, the sole arbitrator who presided over the case called the bonds “not a suitable investment for perhaps anyone.” If that is true then thousands of investors, including many retirees, should never have been sold this alternative investment.

Why You Should Hire Seasoned L Bond Fraud Attorneys 

Shepherd Smith Edwards and Kantas is representing many investors in their L Bond loss lawsuits against broker-dealers. These are complex cases, and you want to retain the legal services of a seasoned securities firm that is knowledgeable about the role financial advisors played in contributing to investor losses.

Disputes with brokerage firms are normally filed in FINRA arbitration, and our FINRA lawyers have helped many investors to pursue and recoup damages in this legal forum. Because we are representing many L Bond investors, if we decide to work together you would join our unit of GWG loss claims.

This would be to your benefit, as your claim would be able to avail of all of the discovery we have conducted already. Not only that, but by now, the law firms representing the brokerage firms who marketed and sold L Bonds know they will have to contend with us time and again. They must take us and our clients’ investment loss lawsuits seriously.

Many of those we represent are retirees, seniors, and older investors. We understand the challenges that can come from suffering serious investment losses at this time in life. We are here to provide quality securities representation and personalized attention.

Contact Our GWG Investment Fraud Lawyers Today

More than 90% of our clients have obtained full or partial financial recovery through our hard work and skilled efforts. Call (800) 259-9010 or fill out this form.