According to the investmentnews.com the FBI is handling a criminal investigation into Gibraltar Partners, which allegedly, along with other companies, ran a Ponzi scheme for which investors are seeking to recoup more than $100 million. During the course of the FBI investigation and the unraveling of the Ponzi scheme, it was brought to the attention of Edward Jones that 2 of their brokers may have been involved in the scheme and had been “selling away” from the company and investing people in this Ponzi scheme.
The names of those brokers have not been made public, but Edward Jones moved quickly to remove them from the company. Edward Jones is reportedly “cooperating” with securities regulators and the FBI to assist the investigation into the Ponzi scheme. According to the investmentnews.com, Edward Jones is also making moves to make restitution to clients of the firm affected by this situation. John Boul, a company spokesman, is quoted as saying, “A small number of Edward Jones clients have invested money in this scheme, away from the firm…The firm is currently negotiating settlements with these clients.”
Based on the foregoing information, it appears that Edward Jones may be culpable for negligent supervision of the brokers who sold Gibraltar Partners to its clients.
If you invested in the Gibraltar Ponzi Scheme through brokers at Edward Jones or another brokerage house, you may be entitled to recovery of your investment losses. To speak to a securities attorney about your situation please call our Chicago office at 312/238-9650.
The White Law Group, LLC is a national securities fraud, securities arbitration, investor protection, and securities regulation/compliance law firm with offices in Chicago, Illinois and Boca Raton, Florida.
For more information on The White Law Group, please visit our website at http://www.whitesecuritieslaw.