SEC Files Fraud Charges – Premier Holding Corp. and its CEO
Did you lose money investing in Premier Holding Corp. at the recommendation of your financial advisor? If so, the securities attorneys at The White Law Group may be able to help you to recover your losses through FINRA Arbitration.
According to a press announcement on Monday, the Securities and Exchange Commission charged Premier Holding Corp., a microcap company and its CEO with conducting a fraudulent scheme. The scheme was to allegedly mislead investors about the company’s success and prospects, hide its losses, inflate the value of its assets, and artificially prop up its stock price.
Premier Holding Corp. is a publicly traded energy services holding company based in California that provides “green energy services.” The SEC alleges that Premier Holding Corp., and its CEO, Randall Letcavage, orchestrated a series of purportedly important transactions with related parties designed to create the false appearance of an active company with a vibrant and promising business.
According to the complaint, Premier and Letcavage used these transactions to mislead investors about the financial health of the company and to hide losses in Premier’s financial statements.
Premier and Letcavage allegedly misled investors about the value of this promissory note in filings with the SEC in 2013 and 2014. They purportedly assigned a high value to the promissory note that they knew was incorrect.
The SEC also charged Joseph Greenblatt, a consultant who provided accounting services to Premier. The SEC alleges that Greenblatt assisted Premier in preparing certain of its fraudulent financial statements, which included a valuation of the promissory note that he purportedly knew was inadequately supported.
According to the SEC, the Commission seeks permanent injunctions, disgorgement of ill-gotten gains plus prejudgment interest thereon, and civil monetary penalties as to all defendants, as well as a penny stock bar and an officer-and-director bar against Letcavage.
Investigating Potential Fraud Claims
The White Law Group is investigating potential claims involving broker-dealers who may have recommended Premier Capital Corp. to investors.
Brokers have a fiduciary duty to perform due diligence on any investment. They must ensure that investment recommendations are consistent with their client’s age, net worth, risk tolerance, investment experience and objectives, risk tolerance. If a broker overlooks suitability requirements, investors may have an actionable claim to recover their losses in a product in a claim through FINRA dispute resolution.
FINRA (The Financial Industry Regulatory Authority) operates the largest securities dispute resolution forum in the United States, and has extensive experience in providing a fair, efficient and effective venue to handle a securities-related dispute.
If you suffered losses investing in Premier Holding Corp. you may be able to recover some of your losses by filing a FINRA Arbitration claim against the brokerage firm that sold you the investment. For a free consultation with a securities attorney, please call The White Law Group at 1-888-637-5510.
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 Vero Beach, Florida.
For more information on The White Law Group, please visit our website at www.WhiteSecuritiesLaw.com.