April 11, 2017 Comments (0) Blog

Bearcat Energy Investors LP Investment Losses

Bearcat Energy Investors LP
(Last Updated On: May 11, 2017)

Recovery of Investment Losses in Bearcat Energy Investors LP

Have you suffered losses investing in Bearcat Energy Investor LP? If so, The White Law Group may be able to help you recover your losses.

Bearcat Energy, LLC acquires and develops coal bed methane in the Powder River Basin of Wyoming. The company operates 24 coal-bed methane wells in Sheridan County, Wyoming. Bearcat Energy, LLC was incorporated in 2009 and is based in Denver, Colorado, according to Bloomberg.

The company filed for Chapter 11 Bankruptcy protection in March owing its 20 largest creditors $7.47 million as of a filing on March 15.

The company has not publicly disclosed its net worth, but reported in court documents that its liabilities could be as high as $10 million, and that its assets are worth less than $50,000.

The Trouble with Reg D Private Placements

The trouble with alternative investment products, like Bearcat Energy Investors LP, is that they involve a high degree of risk and are typically sold as unregistered securities which lack the same regulatory oversight as more traditional investment products like stocks and bonds.  An additional risk inherent to Bearcat Energy LLC offerings is also the general risk that comes with the energy market – a market that has seen enormous losses over the last few years.

The White Law Group is investigating the liability that brokerage firms may have for selling oil and gas private placements such as Bearcat Energy Investor LP.

Broker dealers that sell alternative investments are required to perform adequate due diligence on all investment recommendations to ensure that each investment is suitable for the investor in light of the investor’s age, risk tolerance, net worth, financial needs, and investment experience.

However, another unfortunate by product of Reg D private placements is that the high sales commission brokers earn for selling such products may provide some brokers with enough incentive to push the product to unsuspecting investors who do not fully understand the risks of these types of products.

If a broker or brokerage firm makes an unsuitable investment recommendation or fails to adequately disclose the risks associated with an investment they may be liable for investment losses.

To determine whether you may be able to recover investment losses incurred as a result of your purchase of Bearcat Energy Investors LP or another oil and gas private placement investment, please contact The White Law Group at 1-888-637-5510 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. For more information on the firm, visit www.WhiteSecuritiesLaw.com.

 

»