December 29, 2017 Comments (0) Blog, Current Investigations

Ironclad Performance Wear Corp. Files Chapter 11 Bankruptcy Protection

Ironclad Performance Wear Corp.
(Last Updated On: January 29, 2018)

Investigating Potential Claims – Ironclad Performance Wear Corp.

The White Law Group is investigating potential claims involving broker-dealers who may have unsuitably recommended Ironclad Performance Wear Corp. to investors.

Ironclad Performance Wear Corp. is the industry leader in high quality task-specific PPE work gloves and is located in Farmer’s Branch, Texas, according to their website. The company filed a Form D to raise capital from investors in 2008.

On September 8, 2017, Ironclad (ICPW) and its subsidiary filed for Chapter 11 bankruptcy protection.

According to reports, Ironclad will remain in the possession of its assets and will continue to operate and manage its business in the ordinary course. This includes continuing the development, manufacture and sale of its high-performance task-specific work gloves, pending the sale of substantially all of its assets.

Risks of Regulation D Private Placement Investments

Investments such as Ironclad Performance Wear Corp., are typically sold by brokerage firms in exchange for a large up front commissions. High fees can range from 7-10%, as well as additional “due diligence fees” that can range from 1-3%.

The problem with private placement investments such as Ironclad Performance Wear Corp. is that they involve a high degree of risk. They are typically sold as unregistered securities which lack the same regulatory oversight as more traditional investment products like stocks or bonds.  These investments may seem wise at first, until the dramatic drop in distributions.

Despite the risks of investing in private placements, brokerage firms continue to push this type of investment because of the high commissions associated with their sale and creation.

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

The Financial Industry Regulatory Authority (FINRA ) 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.

Are you concerned about your investment in Ironclad Performance Wear Corp.? If so, the securities attorneys at The White Law Group may be able to help you. Please call 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 White Law Group and its representation of investors in FINRA arbitration claims, visit http://www.whitesecuritieslaw.com.