The White Law Group, LLC, a South Florida securities fraud, broker fraud, securities arbitration, investor protection and Chapter 7 bankruptcy law firm based in Boca Raton, Florida.

Have you suffered losses as a result of investing with former LPL financial adviser and broker, Blake Richards?  If so, the securities attorneys of The White Law Group may be able to help you recover your losses through a FINRA arbitration claim.

It was recently reported that the SEC has filed a complaint against Blake Richards alleging he misappropriated $2 million of client funds for personal use. According to Reuter.com “The U.S. Securities and Exchange Commission said that Blake Richards of Burford, Georgia, scammed at least six clients after promising to invest their funds in investment vehicles he ran outside of LPL, according to a complaint filed in the U.S. District Court for the Northern District of Georgia.”

“The majority of the misappropriated funds constituted retirement savings and/or life insurance proceeds from deceased spouses,” according to the SEC (here). Blake’s alleged conduct has been going on since at least 2008.

According to the Financial Industry Regulatory Authority (FINRA) CRD, Blake Richards was registered with FINRA member firms from April 2000 until May 2013. He was registered with Edward Jones from 04/2000 – 08/2004, A.G. Edwards & Son, Inc. from 08/2004 – 02/2007, Ameriprise Advisor Services, Inc. from 02/2007 – 05/2009, and LPL Financial, LLC from 05/2009 – 05/2013.

When a FINRA affiliated broker conducts business outside of the firm with whom he is registered the activity may be considered “selling away.” If a registered broker “sells away” from his firm, the firm may still be liable for negligent supervision of their broker representative and may be responsible for investment losses in a FINRA dispute resolution claim.

If you invested with Blake Richards while he was registered with a FINRA member brokerage firm, suffered investment losses and would like to speak to a securities attorney about your potential to recover losses, please call our Chicago office at 312-238-9650 for a free consultation.

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.com.

According to their website,  ATEL Capital Group “provides everything from venture leasing for promising new firms, to large-scale equipment financing for some of the worlds most respected corporations.” The company leases a variety of equipment, including mining, transportation, construction, ocean-going vessels, aircrafts, and machine tools.  Currently, ATEL “manages an equipment portfolio of approximately $2 billion.”

ATEL has offered a number of Equipment Funds in order to raise capital. Investors who purchased Limited Liability Units in ATEL Capital Equipment Fund may have been unaware of the high risks. According to the prospectus of one of ATEL’s offerings, ATEL Capital Equipment Fund X, the investment involves significant risks, including:

No market exists for the Units, and an investor may be unable to sell his Units;

The Fund expects to have more cash to distribute than taxable income, so, as in prior ATEL programs, a substantial portion of Fund distributions is expected to be a return of capital;

The Fund’s performance is subject to risks relating to lessee defaults and the value of equipment at the end of the leases;

The Fund has not specified all of its equipment investments; and

The Fund will pay ATEL substantial fees;

It also appears that certain of the ATEL offerings may have decreased substantially in value.  According to LPsales.com (a secondary market for private placement investments like ATEL Capital Equipment Funds), ATEL Capital Equipment Fund X has sold as recently as March 2013 for $2.95 per unit, and in April 2013 the ATEL Capital Equiment Fund VIII sold for $0.78 per unit.

Broker-dealers that have not done their fiduciary duty or performed adequate due diligence when selling investments may be held liable for damages through the FINRA arbitration.

The White Law Group is investigating potential FINRA arbitration claims involving the following ATEL Capital Equipment Funds:

• ATEL Capital Equipment Fund VII
• ATEL Capital Equipment Fund VIII
• ATEL Capital Equipment Fund IX
• ATEL Capital Equipment Fund X
• ATEL Capital Equipment Fund XI

According to Investment News, the Financial Industry Regulatory Authority (FINRA) has fined VSR Financial Services Inc. $550,000, in addition to a 45-day suspension of their chairman, Don Berry, for over concentrating client portfolios in alternative investments.

On May 15^th, 2013 VSR entered into a Letter of Acceptance, Waiver, and Consent which alleges that Mr. Berry “failed to adequately implement the firm’s supervisory system pertaining to its supervision of concentrated positions in alternative investments through the use of a ‘discount program,’” which “artificially reduced the amount a customer had invested in a particular investment for purposes of calculation concentration.”

According to the Letter, “when calculating concentration at certain risk levels, VSR reduced the risk ratings on many investments, making the ratings inconsistent with the risks stated in the offering documents related to the investments.”

Alternative investments are security products other than stocks, bonds, and cash. Types of alternative investments include hedge funds, non-traded REITs, TICs, private placements, commodities and financial derivatives. Most alternative investments are intended for accredited high-net worth individuals because they are not subjected to the same public scrutiny and regulatory oversight as traditional investments. Furthermore, alternative investments are often more complex and lack liquidity.

Broker-dealers that have not done their fiduciary duty or performed adequate due diligence when selling investments may be held liable for investment losses through FINRA arbitration.

The White Law Group is a national securities fraud, securities arbitration, and investor protection law firm with offices in Chicago Illinois and Boca Raton, Florida.

For more information on The White Law Group and the firm’s securities fraud practice visit http://www.whitesecuritieslaw.com.