In its formal complaint, the Financial Industry Regulatory Authority (FINRA)
has accused the Syosset, New York-based brokerage firm, David Lerner Associates
(DLA) of investment fraud.
FINRA cites that DLA marketed
real estate investment trust shares to unsophisticated and elderly investors by using misleading information
to lure unsuspecting investors to the $2 billion Apple REIT Ten offering.
DLA allegedly failed to take into account whether the shares were suitable
for its customers.
FINRA sued DLA on Tuesday, May 31, 2011, accusing the firm of misleading
investors and offering
unsuitable products in the $2 billion real estate fund. FINRA claims that DLA should
have conducted more due diligence on the offering. DLA has argued against
In a statement, DLA denies the accusation.
Last year, FINRA accused DLA of overcharging customers on sales of mortgage
securities and municipal bonds. That case is still pending.
We Can Help
Contact an experienced
investment fraud lawyer at the law firm of David P. Meyer & Associates, if you have lost money
or had your funds frozen in the Apple REIT recommended by David Lerner.
Our firm represents clients nationwide in securities litigation, arbitration
and mediation claims. All of our cases are handled on a contingency fee
and we never request a retainer of any kind for these cases. Obtain your
free case evaluation by calling us or filling out our
Be sure to order our free book,
Five Signs of Investment Fraud…And What to Do if it’s Happened to You.