February 2, 2016 Comments (0) Blog, Securities Fraud

Recovery of Mewbourne Investment Losses

Mewbourne Investment
(Last Updated On: October 16, 2017)

Investigation of Mewbourne Investment

Have you suffered losses in a Mewbourne investment program? If so, the securities attorneys of The White Law Group may be able to recover your losses from the brokerage firm that recommended the investment.

According to their website, Mewbourne Oil Company, established in 1965, develops oil and natural gas prospects acquires leasehold interests, and serves as the operator in the drilling and production of wells. The company is headquartered in Tyler, Texas with exploration offices in Amarillo and Midland, as well as Oklahoma City.

Many oil and gas LPs have high expense ratios, and due to the decline in the overall health of the oil and gas market, are suffering. Some are on the brink of default, or worse yet, bankruptcy.  Such an outcome is extreme, but not unforeseen. It only highlights the unsuitability of these investments for most retail investors – particularly in large concentrations.

Given the decline in the price of oil, it appears clear that recent offerings by Mewbourne would be underperforming.

Trouble with Alternative Investments

The White Law Group is investigating the liability that brokerage firms have for recommending high-risk oil and gas programs. The firm has handled a number of claims involving Mewbourne. In those claims, the firm has have alleged, among other things, that the Mewbourne investments were (1) high-risk and unsuitable for our clients given their financial situation, needs and investment objectives, (2) that the risks of the investment were not fully disclosed to them, and (3) that the brokerage firms failed to conduct the proper due diligence with respect to the Mewbourne investments (as the firms are required to do by FINRA Rules).

The problem with oil and gas limited partnerships like those offered by Mewbourne are exempt from registration with the Securities and Exchange Commission (SEC) and therefore lack the same regulatory oversight as other investment products. Limited partnerships are also considered high-risk speculative ventures that often lack liquidity. Furthermore, limited partnerships, like Mewbourne, offer extremely high commission fees, 3-4x higher than more traditional investments like mutual funds or bonds.

Specifically, The White Law Group is investigating potential claims involving the following Mewbourne offerings:

  • Mewbourne Energy Partners 11-A
  • Mewbourne Energy Partners 12-A
  • Mewbourne Energy Partners 13-A
  • Mewbourne Energy Partners 14-A
  • Mewbourne Energy Partners 15-A

Recovery Options

If you invested in a Mewbourne offering and would like to discuss your litigation options, please call the securities attorneys of The White Law Group at (312)238-9650 for a free consultation.

The White Law Group is a national securities fraud, securities arbitration, and investor protection law firm with offices in Chicago, Illinois and Vero Beach, Florida. THe firm represents investors in FINRA arbitration claims throughout the country.

For more information on the firm, visite www.WhiteSecuritiesLaw.com.