GPB Capital Losses From Automotive or Holdings Funds?
Investment Loss Attorneys for GPB Capital Lawsuits: (888) 390-6491
Meyer Wilson has been following and reporting on GPB Capital Holdings since it came under regulatory inquiry earlier this year for potential securities laws violations.
In addition to federal inquiries, the Massachusetts Secretary of the Commonwealth has also launched investigation into 63 brokerage firms that allegedly sold high-risk private placements from GPB Capital Holdings wronged investors say were unsuitable and misrepresented.
If you or someone you love suffered financial losses after investing in private placements sold by GPB at the recommendation of a financial advisor / broker, Meyer Wilson wants to hear from you. Our Ohio-based investment loss attorneys are known nationally for our work in securities arbitration and litigation, and have recovered over $350M in lost investments for clients nationwide.
Call (888) 390-6491 or contact us online to speak with a lawyer about a potential GPB Capital Holdings lawsuit and your options.
Do You Have a Case?
Meyer Wilson is actively reviewing cases from wronged investors who suffered financial losses after purchasing private placements sold by GPB Capital Holdings. Our goal is to help investors recover financially.
You may have a potential claim if you lost money investing in any GPB Capital private placement security which invested in automotive dealerships, the waste management industry, or middle market lending, including:
- GPB Automotive Portfolio LP
- GPB Holdings II
- GPB Holdings III
- GPB Holdings LP
- GPB Waste Management, LP
- GPB NYC Development LP
- GPB Cold Storage
Private placements are non-public offerings used to raise capital. These investments are often sold to “accredited” investors. Private placements are generally illiquid, meaning they cannot be readily sold and are not traded on the open market. They offer investors higher returns than publicly traded stocks and bonds, but limited company information and lack of regulatory oversight create a greater risk for financial losses.
Private placements are not suitable for most retail investors, and brokerage firms are required by industry rules to perform a careful due diligence analysis before selling them to customers.
GPB Investors Claim Misrepresentation, Unsuitability
Registered brokers owe their clients legal duties, and must conduct due diligence to ensure they make only suitable investments for their clients. Due diligence is of particular importance for private placements, as access to material information comes only from the selling brokerage firm.
As regulatory investigations into GPB’s private placements continue, investors who lost money after purchasing GPB investments at the recommendation of their advisors – who received large commissions – have begun to file claims alleging unsuitability and misrepresentation. Some allegations have claimed GPB operated as nothing more than a Ponzi scheme.
Claims currently pending against brokers involve significant financial losses. Two FINRA customer disputes against brokerage firms that sold GPB private placements, for example, involve alleged losses of $175,000 and $400,000. Regulators believe there are more wronged investors with potential cases.
The brokerage firms that are alleged to have recommended and sold GPB Capital Holdings include:
- Accelerated Capital Group
- Advisory Group Equity Services, Ltd
- Aegis Capital Corp
- Aeon Capital, Inc.
- American Capital Partners, LLC
- Arete Wealth Management, LLC
- Arkadios Capital
- Ascendant Alternative Strategies, LLC
- Ausdal Financial Partners, Inc.
- Avere Financial Group, LLC
- Axiom Capital Management, Inc.
- BCG Securities, Inc.
- Benjamin & Jerold Brokerage I, LLC
- Cabot Lodge Securities, LLC
- Calton & Associates, Inc.
- Cape Securities, Inc.
- Capital Financial Services, Inc.
- Capital Investment Group, Inc.
- Cascade Financial Management, Inc.
- Center Street Securities, Inc.
- Coastal Equities, Inc.
- Colorado Financial Service Corp.
- Concorde Investment Services, LLC
- Crown Capital Securities, L.P.
- Crystal Bay Securities, Inc.
- David A. Noyes & Company
- Dawson James Securities, Inc.
- Dempsey Lord Smith, LLC
- Detalus Securities, LLC
- DFPG Investments, Inc.
- Dinosaur Financial Group, LLC
- Emerson Equity LLC
- Financial West Group
- FSC Securities Corp.
- Geneos Wealth Management, Inc.
- Great Point Capital, LLC
- H. Hill Securities, LLLP
- Hightower Securities, LLC
- IBN Financial Services, Inc.
- Innovation Partners LLC
- International Assets Advisory, LLC
- Investment Architects, Inc.
- Kalos Capital, Inc.
- Kingsbury Capital, Inc.
- Ladenburg Thalman
- Landolt Securities, Inc.
- Lewis Financial Group, L.C.
- Lion Street Financial, LLC
- Lowell & Company, Inc.
- Madison Avenue Securities, Inc.
- McDonald Partners LLC
- McNally Financial Services Corp.
- Moloney Securities Co., Inc.
- Money Concepts Capital Corp.
- MSC – BD LLC
- National Securities Corp.
- Newbridge Securities
- Newbridge Securities Corp.
- Orchard Securities, LLC
- Pariter Securities, LLC
- Partier Securities, LLC
- Private Client Services, LLC
- Purshe Kaplan Sterling Investments
- Royal Alliance Associates, Inc.
- Sagepoint Financial, Inc.
- Sandlapper Securities, LLC
- SCF Securities, Inc.
- Sentinus Securities, LLC
- Silber Bennett Financial, Inc.
- Stephen A. Kohn & Associates, Ltd.
- Triad Advisors, LLC
- Uhlmann Price Securities, LLC
- United Planners’ Financial Services of America, LP
- Vanderbilt Securities, LLC
- Vestech Securities, Inc.
- Western International Securities, Inc.
- Westpark Capital, Inc.
- Whitehall-Parker Securities, Inc.
- Wilmington Capital Securities, LLC
- Windsor Street Capital, LP
- Woodbury Financial Services, Inc.
GPB in Hot Water: A Timeline of GPB Capital Losses & Lawsuits
GPB Capital Holdings since it came under regulatory investigation over potential securities violations related to high-risk private placements which were said to have invested in the waste management and auto dealership industries, as well as middle market lending.
According to regulators from FINRA, the FBI, and the SEC, GPB raised millions of dollars from selling private placements through dozens of outside brokers.
Concerns over GPB Capital’s high-risk, high-commission “alternative investments” began to arise last year, when the investment firm failed to file registration forms with the SEC and make financial disclosures for its two largest private funds:
- GPB Automotive Portfolio (which raised over $622M in the past 5 years); and
- GPB Holdings II (which raised $645.8M since 2015).
Though the funds are private and are not traded or listed on an exchange, they have over $10M in total assets, and more than 750 shareholders, which would necessitate the filing of a Form 10 with the SEC.
Since missing its April 2018 filing deadline, GPB has since been hit with an FBI search warrant, SEC subpoena, and regulatory inquiries in multiple states. The Massachusetts Secretary of the Commonwealth has also announced an investigation into more than 60 brokerage firms that allegedly sold the GPB-packaged private placements.
Lost Money? Meyer Wilson Can Help.
If you or someone you know suffered financial losses as a result of investing in a GPB Capital fund or investment, you may have a potential claim to recover your losses. The award-winning investment loss attorneys at Meyer Wilson are available to review potential claims from wronged investors across the country who purchased GPB Capital private placements now under regulatory investigation.
Our legal team has been named among the 2020 “Best Lawyers in America” by U.S. News, and has recovered more than $350 million for our clients. Call (888) 390-6491 or contact us online to get started with a free consultation.